According to a new report from the Wall Street Journal (reposted on Realtor.com), a new trend of “built to rent” subdivisions are spreading across the county. The WSJ says these new subdivisions are managed more like apartment buildings and have designated staff for repairs & maintenance. In addition, data currently shows that built-to-rent home make up 6% of newly built homes, however experts have suggested that the number of these homes built annually will double by 2024. Indeed…
“In the past few years, the model has taken off around Phoenix and elsewhere—and is likely to become a dominant force in the rental housing market in the coming years, with implications for the communities that surround them, and the nature of home ownership..”
“What becomes of the suburbs if, one day, homeowners are outnumbered by renters? For one, the suburbs may become more transient places where residents move in and out more often, industry experts say. Tenants of single-family homes typically stay around longer than apartment renters, but tend to move sooner than homeowners, who stay for an average of seven years. “They’re not going to plant an oak tree,” says real estate consultant John Burns, referring to built-to-rent tenants.”
Click here to read the full story at Realtor.com.
Click here to read the full story at the Wall Street Journal.
