23 Nov The market is hot for single-family rental homes
Homebuilders are taking note of the recent trend in increased demand for single-family rental homes. The popularity of the detached home is growing as the millennial workforce grows. These young workers often have growing families and are looking for the comfort and space a detached home can provide versus an apartment rental unit.
They also prefer the low-maintenance aspect of a rental home versus buying. The renter can enjoy the comfort of increased space while avoiding the more unpleasant aspects of home upkeep, such as home repairs and yard maintenance. The millennial renter is more into taking time to enjoy free time than working to take care of a home.
You may be surprised that many who choose to rent a single-family home as opposed to buying one do so for convenience rather than necessity. Some of these renters have annual incomes of over $100,000 and can afford to buy a home but want the simpler and easier lifestyle of renting.
According to the National Association of Home Builders, approximately 43,000 single-family homes were built for rent in 2018. The trend of single-family rental homes has been growing for some time. An Urban Institute report found in 2017 single-family detached rental homes were the fastest growing segment of the housing market. In urban areas, the growing trend of millennials pushing to move out of the city and live in the suburbs will mean single-family rental homes will be in greatest demand there.
If you are thinking of purchasing an investment property, a single-family home could be worth considering. Barsh & Cohen has legal professionals to handle all aspects of closing with fast and efficient service, all at a reasonable cost. We have over 75 years of experience providing closing services for the greater Boston area. Contact us for a consultation.