The EFFECT of Rental Increase on Your Short Term Rental Business

Name: The EFFECT of Rental Increase on Your Short Term Rental Business
Uploaded: 2021-08-01T17:46:04+00:00
Duration: 59 s
Channel: Tim Hubbard
Description: A short YouTube commentary by Tim Hubbard explaining how falling homeownership rates (from 68% in 2018 to ~65%) increase rental demand, putting upward…

1 Aug 2021 · 1 min

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0:59

A short YouTube commentary by Tim Hubbard explaining how falling homeownership rates (from 68% in 2018 to ~65%) increase rental demand, putting upward pressure on rents and benefiting real estate investors—especially owners of short-term rentals in high-demand/low-supply markets.

Questions this video answers

68% (stated as 'where it was in 2018').

65% (stated as 'has gone down to 65%').

Chapters

Homeownership has gone down to 65% from 68% where it was in 2018. So we've got to think for every percentage drop in homeownership, that's millions of people that are renting. So this is just how it is. This is the economy. This is supply and demand. We have a shrinking supply and we have an increase in demand and renters. So it's putting a lot of pressure on rents. And if we're in the right area, hopefully we are. If we're in the right market, well, as real estate investors, we are going to see the benefit of that. And how does this apply to our short term rentals? So if we buy a property in an area that's seen increased demand and there's less supply there, well, that means our rents are going to go up. That would mean that our short term rental rents would go up as well. And that means that those places are probably going to appreciate faster than other markets. So it's a fantastic time to be a real estate investor.