My mom and her girlfriend are trying to buy a house and went to a showing yesterday to place a bid. Just for a single family home built in the 50s, in a suburb outside of Cincinnati, they’re looking at $200,000. My grandparents, in the exact same neighborhood, just 5-6yrs ago, paid $112,000. There were over 20+ people that looked yesterday. The sellers are doing a one day sale/showing, you can only place one bid, and they’re telling today who they’re going to sell to. You have to pay for the inspection and everything else. It’s just absolutely not a buyers market and a lot of it has been caused by these companies buying up all of the homes to rent them out for insane amounts.
But her cousin is her realtor, and was telling her that to fight back against all of these big companies buying up single family homes and renting them out, causing the ones that do sell to completely fuck you, they’ve started making a rule that no houses in their neighborhoods can be rented out. That could come with its own problems, but it’s a great way to fight back against these companies.
And the way the rule is set up, even if a house is already being rented, whenever the current tenant would move out, it would no longer be allowed to be rented. Apparently a lot of neighborhoods are starting to do this.
She was telling her with the way things are going the housing market won’t crash and everything will only get worse. My mom talked to her just last year about buying and we’re hoping the average mortgage rate wouldn’t go past 4%, now only 6 months in to 2022, and it’s at 6%, which is insane. And it’s only expected to go up.
I’m curious if you guys think this can be a good solution to these companies buying up all the homes, renting them, and jacking up the rent, or if all it’ll do is make it harder for people who can’t afford to buy find anywhere to rent?