4 ms·
Probably because when someone takes out a mortgage and then rents the property, it's with the expectation that the rent will offset the mortgage. Therefore the
by indigochill 6y ago
Probably because when someone takes out a mortgage and then rents the property, it's with the expectation that the rent will offset the mortgage. Therefore the rent costs more than it actually costs to live there as an owner because of the landlord's markup. Meaning fewer people can afford to live there.
- edogg 6y agoThe cost of the property reflects the value of the rents, the cost of financing, property taxes and maintenance. Rents are probably not that out of wack with the landlords costs. If the landlords revenue does exceed costs you could see it as either money the landlord needs to save for future major repairs like new roof, new appliances, payment for their labour, return on the down payment invested, etc. if you can’t beat them join them and if you can’t join them then maybe it isn’t quite so easy and cut and dry.
- WalterBright 6y agoBut yet the same number of people are housed.