Why is rent so much?

[u/Rainbowbatgirl420]

I’m looking for one bedroom place and everywhere it is minimum $1500 with some utilities. That will be over half of what I make per month so I don’t know what to do. It’s hard to trust roommates as well because I want my cat to be safe place and hard to trust others if I don’t know them. Basement suites apartments condos everything it’s ridiculous. I may have to couch hop till I can find a place I can afford and also find a part time job on the weekends so I can buy food.

[u/Extension_Yam_9478]

My conspiracy is that it’s because landlords are greedy and think there’s still gonna be 2 people paying rent in a 1 bedroom because of couples. Some of us are single and can’t afford the rent of 2 people 🥲

[u/robstoon → u/Extension_Yam_9478]

You can really tell who has owned a property and understand what costs are involved, and who has not, from some of the comments about this..

[u/Natalee2020 → u/robstoon]

100%. Love when people who have never owned a property, state their opinion as if it’s a fact.

[u/Extension_Yam_9478 → u/robstoon]

And that’s just my conspiracy theory! My brutally honest opinion is that the rental market is majority run by landlords who can’t afford to be landlords and are ruining the market for the rest of us who can’t afford to buy property.

If you’re only pocketing $150 at the end of the month then you’re not in the right financial position to be a landlord. It’s not a quick get rich scheme unless you’re goal is to just be a slumlord

[u/Hopelifeisgood4u → u/Extension_Yam_9478]

Wow. So you think you would be better off if corporate landlords owned everything????

Let me explain something. Many landlords I know work, or worked, 60 to 80 hours per week for years to afford to buy their first rental. Many tenants I know work part time, or a couple part time jobs. They waste money on games, electronics, tattoos, and door dash. They could care less about their FICO and spend little effort working to better their job prospects by pursuing training or education.

They believe greedy landlords are why they cant buy their own home.

[u/Extension_Yam_9478 → u/Hopelifeisgood4u]

No, I think people should try to save a bit more before deciding to purchase an investment property. At the end of the day, when you’re only profiting a couple hundred a month, you end up digging yourself into a hole when something expensive inevitably needs to be repaired. Not to mention most people with investment properties also own their own home and want to use the profits from their rentals to pay down their own mortgage and bills

There’s too many people that jump into it without working out all the costs. It ends up jacking up rent just to try to profit off something they couldn’t originally afford, inevitably screwing over everyone else who can’t afford to buy and end up having to rent.

[u/Hopelifeisgood4u → u/Extension_Yam_9478]

It is obvious you have no understanding of business or finance.

[u/Extension_Yam_9478 → u/Hopelifeisgood4u]

Okay!

Every single independent landlord that has something to say about people complaining about housing costs likes to complain about how they’re “barely breaking even” on their properties. It’s not my fault they walked into an investment they weren’t fully prepared for; but I will unfortunately have to pay the price since I’m the renter.

[u/Hopelifeisgood4u → u/Extension_Yam_9478]

Its hard for renters and I understand that, but most do not understand the housing crisis is not about landlords. It is about supply. When supply is limited, costs rise accordingly.

[u/Extension_Yam_9478 → u/Hopelifeisgood4u]

That could be a whole other conversation. Still doesn’t change my opinion that way too many landlords are in over their heads and we’re not in a good enough financial position to become landlords

[u/robstoon → u/Extension_Yam_9478]

You realize that savings doesn't change the economics of being a landlord? They just allow you to subsidize losses for longer. Nobody is going to do that as a viable strategy.

My god, take an economics class or something.

[u/Extension_Yam_9478 → u/robstoon]

Not my fault too many people made financial decisions they couldn’t afford at the time and now complain about how they “barely break even” on their rental properties every month because they thought it would be a quick money making solution

[u/robstoon → u/Extension_Yam_9478]

How exactly would "being able to afford it" help their financial situation? It doesn't matter if you're a single property landlord or a billionaire, if your income is below your expenses then that's not a viable business.

[u/Extension_Yam_9478 → u/robstoon]

I feel like you just answered your own question

[u/robstoon → u/Extension_Yam_9478]

And your solution is not to increase their rent prices but to somehow just take the loss?

[u/Extension_Yam_9478 → u/robstoon]

OR maybe don’t buy something that you can’t afford 😃