All across United States, an increase of rent prices has been observed. This has been a trend since 2011 where rent had a massive increase of almost 20%. According to a report published on medium, since 2011 it has been becomingless affordable to rent a house in almost 94% percent if the nation's 50 biggest cities. And below are some of the reasons why people are struggling to pay their rent.
Price Surge
The unstoppable price hike since the lows of recession is one of the main reasons why paying rent has been very difficult for some individuals. These high prices of property would mean people are more inclined to rent rather than own their own house, and such scenario would likewise lead some property owners to put a higher price on their property open for rent.
Another contributing factor as highlighted on the Nation's Housing 2015 report from The Joint Center for Housing Studies of Harvard University's State is the growth of renters compared to previous decades. Young professionals would tend to rent a house than to own one compared to their parents' generation. The growth in the popularity of renting in a way contributed to the rising price of houses to be rented.
Lack of Diversity
Fewer apartment supplies to choose from is one of the reasons why it is becoming hard to pay rent. The lack of supply to meet the demands influence rent price and options of individuals. The idea of moving to a cheaper place is easy said than done. For moving is difficult and it would create greater demands for transfer purposes. The money is not enough to shoulder the transfer payment. And people are also hesitant to transfer away from the opportunities in a particular urban city. Though the rates of some houses for rent are low, but the vicinity is too far from the center of the city where jobs are mostly to be found. That is why renters would choose a less affordable rent in order to be in a more productive area.
The ones listed above are among the many reasons why it has been becoming too difficult to pay rent nowadays. Reasons may vary from person to person and the environment and lifestyle he or she is living on.
