Rental Market

[llee]

Hi,

In real estate sales and purchase, the peaks usually happen in Spring/Summer, and gets slower in snow and cold winter period.

Is there any peak and valley in the real market? Statistically, is it harder to find tenants in the winter (ie, January/February)? If I were a tenant, I wouldn`t like to move in the winter.

Any experience is appreciated.

Thanks
Lucas

 

[jameswilkins]

It requires: 1. Knowing the average Household Income of an area the Zip Code.
2. Knowing the average Home Priceusing Zillow
3. Knowing the average 30-year fixed rate loan rate
4. Knowing the average down payment buyers have in your area.
5. Knowing the rate of decline, or projecting one.
-----------------------------------------
james wilkins



Link Building

 

[MonteDobson]

QUOTE (llee @ Sep 24 2008, 02:50 PM) Hi,

In real estate sales and purchase, the peaks usually happen in Spring/Summer, and gets slower in snow and cold winter period.

Is there any peak and valley in the real market? Statistically, is it harder to find tenants in the winter (ie, January/February)? If I were a tenant, I wouldn`t like to move in the winter.

Any experience is appreciated.

Thanks
Lucas

Hi Lucas,

Yes it is generally harder to rent properties in the cold of winter. People tend to "hunker down" and their desire to move/relocate decreases when it`s minus 30 outside. On another note, winter provides a great time for rental increases do to the fact that people do not want to move, so try and structure your lease agreements to come due in on the coldest day of the year. Your tenants will grumble for a day or 2 and then get over it quickly as they think of the daunting task of moving. Works great to rent detached garages in winter as well as people want covered, secured storage for boats, fancy sports cars etc.

Hope this helps.

Monte

 

[Thomas Beyer]

QUOTE (llee @ Sep 24 2008, 02:50 PM) Hi,

In real estate sales and purchase, the peaks usually happen in Spring/Summer, and gets slower in snow and cold winter period.
Does it ?
QUOTE (llee @ Sep 24 2008, 02:50 PM) Is there any peak and valley in the real market? Statistically, is it harder to find tenants in the winter (ie, January/February)? If I were a tenant, I wouldn`t like to move in the winter.

Any experience is appreciated.

Thanks
Lucas
less students in summer .. hence usually slower from June to mid-Agust .. then a MAD RUSH for September ..

mid-December to mid-Jan is slow too usually due to Christmas ..

But: the real driver is supply and demand !!! in any market !! this is not always seasonal !!!

 

[TommyK]

QUOTE (C2Ventures @ Sep 24 2008, 02:11 PM) Hi Lucas,

Yes it is generally harder to rent properties in the cold of winter. People tend to "hunker down" and their desire to move/relocate decreases when it`s minus 30 outside. On another note, winter provides a great time for rental increases do to the fact that people do not want to move, so try and structure your lease agreements to come due in on the coldest day of the year. Your tenants will grumble for a day or 2 and then get over it quickly as they think of the daunting task of moving. Works great to rent detached garages in winter as well as people want covered, secured storage for boats, fancy sports cars etc.

Hope this helps.

Monte

Thank you for this tip Monte. I am getting close to take possession of my 2nd property. I am looking to rent it out by November 1st. Hopefully I can get a desperate family who wants to move in before it gets too cold!! And when next Nov arrives, I will raise the rent a little bit... and a little bit for the next year... sounds like a good plan to me!

Tommy

 

[Dejavu]

QUOTE (TommyK @ Sep 24 2008, 10:06 PM) Thank you for this tip Monte. I am getting close to take possession of my 2nd property. I am looking to rent it out by November 1st. Hopefully I can get a desperate family who wants to move in before it gets too cold!! And when next Nov arrives, I will raise the rent a little bit... and a little bit for the next year... sounds like a good plan to me!

Tommy


Hi Tommy,

I shared the same concerns two years ago when we took posession of our first property in Dec 2006. As we found out through that experience, there are a lot of people out there who want a place for 3-4 months only. Mainly new immigrants, unsure of where they want to settle etc. It was not an ideal situation since short rentals cost more on turnover, but at the time it was great to carry us over till spring. We ended up renting to a family who who just moved to Canada from Europe. They stayed as originally agreed - 3 months and then we found good long term tenants in March of the following year.

If you find it challenging to located long-term tenants, you may want to consider a short term rental. Although there are certain risks associated with it....may be a good short-term solution.