[jbales]

If TSHTF what will rent be like? I live in a already over-priced STL apt.

But how bad could the inflation get?

 

[BudgetSurvivalist]

If TSHTF for you, it is hitting for your landlord as well, who likely has to make a mortgage payment. Jacking the rent so high that no one can afford it doesn't help anyone.

I would guess that rent prices on average will deflate before they inflate as more and more people are lowering the rental prices just to get some money coming in. Renters in my area are already seeing good deals.

 

[Trittg]

they should go down before going sky high like budget said so you dont have to worry much in a shtf situation

 

[jbales]

so they'll go lower before the SHTF, almost like a trigger or sign of the time, so if they go way low, i guess that means bad times are to come

 

[Trotline]

Our landlord just raised our rent again said because the trash and water went up.

 

[mongoose]

short term will not be a problem -- however
with credit tight and no one being able - or - unwilling to buy rent prices increase to the level of the customers ability to pay. however as foreclosures rise, and market tightens from a lot of new renters, and a shorter supply, there will be an inevitable increase to level of affordability.

increases would also be coming from increased expenses of owners, such as those garbage and water fees, increased property and lisc fees as local govts look to cover their increasing shortfalls.

 

[FlungPup]

With all these empty foreclosed housed kicking around I expect rents to get cut in half as leases come to term.

Why rent a condo for 2k when you can buy for 1k?

I don't see increased fees. As places shut down they need less money to run. Taxes go by costs.

 

[aramchek]

Go to http://www.landwatch.com and get yourself 5+ acres somewhere in the middle of nowhere, put a trailer, yurt, cabin or whatever you want on it. Rent belongs in the Middle Ages.

 

[survto]

I went to one of these "buy rental units and rent them and get rich" deals, and the guy there explained that if you have 10 units that you pay say 800/mo on and you rent only 8 for 1000, you've broken even, but if you can't rent them all try to rent the rest out at a loss so that the net will be positive, for example rent 6 for 1000 and the other 4 for 700 to get +800/mo net instead of bleeding -3200/mo.

I realized earlier today my landlord is being nice right now b/c no one is renting. He is pouring cash into painting walls and even has put up cutesy paintings in an attempt to attract buyers.

Where I live banks can't possess in excess of certain amounts of property - so their branches properties are owned by a separate company and they try to get rid of houses into real estate agents hands as fast as possible. That and "flipping" can't be done - you need to live in a house for a year before you flip it.

I think there's a point where money clearly becomes a fabrication and having a tenant just stops vagrants from destroying your property for when the recovery takes place.

 

[d3athp3nguin]

I currently live at home (just out of college), and I have been debating when I should move into an apartment. Currently my savings and paycheck could afford me an apartment (and my own space to stock up on preps), but I don't want to get jacked on rent. It's nice paying the parents $300/mo as cheap rent and getting free food... :

Aside from the occasional splurging, I am a prude with $ and have no shame moving back in with the parents to build up $ or ride out the recession.

I eventually intend to throw down for a mortgage when the housing market bottoms out and I make enough $ to do monthly payments. I wonder if it would be more profitable to buy a house and get me some roommates while I pay mortgage on it?

 

[Trittg]

I currently live at home (just out of college), and I have been debating when I should move into an apartment. Currently my savings and paycheck could afford me an apartment (and my own space to stock up on preps), but I don't want to get jacked on rent. It's nice paying the parents $300/mo as cheap rent and getting free food... :

Aside from the occasional splurging, I am a prude with $ and have no shame moving back in with the parents to build up $ or ride out the recession.

I eventually intend to throw down for a mortgage when the housing market bottoms out and I make enough $ to do monthly payments. I wonder if it would be more profitable to buy a house and get me some roommates while I pay mortgage on it?

Well if you buy a house and have roomates you could split the bills that way you will both save some cash.
Three of my friends graduated last year and the all live in the same house. Every month the split the bills. one person pays one bill and so on and the all split the house payment. It works very well with them so i would suggest you doing that if your going to have roomates

 

[Hedgehobbit]

If TSHTF what will rent be like? I live in a already over-priced STL apt.

What is an STL apartments?

As the economy gets worse I think you'll see rents dropping in the nicer Class A and B+ properties. Forclosures also bring down the rent prices of houses (although I haven't seen it yet) to closer what nicer apartments cost.

However, the cheaper class C and D properties will see demand increase as people move out of houses etc. I've already seen that happen at my apartments. No one builds class C properties so there won't be any supply added.

Now's a great time to buy rent houses if your really careful about which one you get. Because Fanny Mae change the rules on how many houses on person can own (from 10 down to 4), there are more houses than buyers.

 

[Hedgehobbit]

I went to one of these "buy rental units and rent them and get rich" deals, and the guy there explained that if you have 10 units that you pay say 800/mo on and you rent only 8 for 1000, you've broken even, but if you can't rent them all try to rent the rest out at a loss so that the net will be positive, for example rent 6 for 1000 and the other 4 for 700 to get +800/mo net instead of bleeding -3200/mo.

That is close to the dumbest real estate advice I've ever heard. First off, you know what a house rents for before you buy it. You don't set the rent based on other properties. Secondly, if you can rent 6 at $1,000, why can't you rent all 10 at $1,000? Renting houses (or apartments) above what the market rents are -never- works. The only people you will get to move into your house at higher rents are those people who don't intend to pay you in the first place.

Here are the golden rules to buying rent houses (at least in Texas) ...

1) Never pay more than $100,000 for a rent house
2) Before you buy it figure out what it will cost to fix -everything-.
3) Check the market and see what a fixed up house is worth.
4) Pay much less (purchase price + repair costs) than the market price from #3
5) When you buy the house fix it up so its nice and things won't be breaking all the time.
6) Figure out what houses rent for in the neighborhood and charge that or -less- than that (even though you house is propably nicer than the others)
7) If the rent you're getting isn't more than $100 more than what your mortgage payment is (including insurance) don't buy the house.

Finally, when you are fixing up a rental house, don't make it so nice that you'd want to live in it. Don't buy that $1,500 stainless steel fridge when a $400 white one cools just as well. No hardwoods, no granite counter tops, etc.

 

[jbales]

sorry STL stands for st.louis

 

[Hilda]

Go to http://www.landwatch.com and get yourself 5+ acres somewhere in the middle of nowhere, put a trailer, yurt, cabin or whatever you want on it. Rent belongs in the Middle Ages.

Assuming you can pay cash, or truly afford the financing, and that you'll be able to use it and improve it, and you'd actually want to be there.

There is A LOT of work (and money) involved in even parking a trailer somewhere. (permits, cut a drive, level, bringing lines in, water? solar or?, etc.) Even if you are inclined to do it all yourself.

I'm all-about a prop with a small creek, tar paper shack, minimal solar and a pit privy, but I can't say as though I know too many other women (or men for that matter) who dream of this as "perfect".
Some would argue that no indoor plumbing, chopping wood, laundering by hand, and cooking outdoors are activities that belong in the Middle Ages.

The bright-side to renting is that any major failures are the landlord's responsibility. HVAC, plumbing, electrical, etc. You can dump a lot of money in maintenance and repair of a home, and if you don't have several grand put-away for just these things, you will go without until you do.

 

[HotPrepper]

I currently live at home (just out of college), and I have been debating when I should move into an apartment. Currently my savings and paycheck could afford me an apartment (and my own space to stock up on preps), but I don't want to get jacked on rent. It's nice paying the parents $300/mo as cheap rent and getting free food... :

Aside from the occasional splurging, I am a prude with $ and have no shame moving back in with the parents to build up $ or ride out the recession.

I eventually intend to throw down for a mortgage when the housing market bottoms out and I make enough $ to do monthly payments. I wonder if it would be more profitable to buy a house and get me some roommates while I pay mortgage on it?

Go for this as long as you can stand it or are welcome. Build the best egg you can by sticking back EVERY CENT of the money you are saving on rent. DON'T touch this, and consider it "free". Be frugal with what would've been your disposable income. You are helping yourself and you are helping your parents, and this arrangement may put both of you in a position to ride out really thin times that might have sunk you if not for you living there. You've got years to live at your own place, and odds are you won't have somebody who cooks for you like mom.

 

[gunman]

thats what were looking at doing hpoefully next year
a couple acres outside of town were my cousin lives he bought his land cheap (he knows the farms there and says they have land that is small acres that cut off of their main feilds thats not wworth the time to mess with and they dont advertise it but would sell it just so they dont have to pay taxes on it anymore
a repoed mobile home (3 bd 2bth 6in walls )i used to work in the molibe home biz so i know their out there just have to know where to look and who to call)
cuz has a cat to level actualy trench a spot because thats how it will be put in (keeps the wind out from under it no skirting to blow down )drill a well septic system and 2 500 gal propane tanks burried w/fill nozels and gauges ran the 2ft to surface not off the grid but damn close