Wichita Home

All About Wichita and Wichita Real Estate

Back To Renting?

I wrote a blog awhile back titled “Still Renting?”.  This was  during the great Government first time home buyer and later any home buyer tax credit designed to boost real estate sales.

In the beginning it was a great idea and all our future buyers were jumping on board. Renters in Wichita Kansas were becoming owners at a fast clip. That prompted me to reach out to anyone still renting that could be owning.

Yesterday however another one of my investor clients made the switch from flipping properties to sell to buying properties to rent.  Is this the new trend, renting?  Seems, according to some of these people, that more and more people are looking for rentals rather than becoming owners.

This change in itself is not bad for Realtors as investors tend to own more rentals at one time than rehab projects. When the tide turns back they’ll be rehabbing those rentals and selling them.

One reason may be that since the tax credit ended buyers may not be as excited to buy, even though real estate prices seem to be dropping and interest rates are at historic lows. Just the thought of “free” money may have driven some to get off the fence and buy. Some were propelled to buy who hadn’t even considered it before.

Most likely it’s the banks and lending institutions being cautious and all the new rules are just making it  difficult for the average consumer. Personally I think more this is the reason consumers are drifting toward renting.

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July 13, 2010 - Posted by | buy, Home, house, kansas, real estate, Uncategorized, Wichita | , , , ,

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