Continuous increase in the number of homes falling under foreclosure auctions in Greenville and escalating levels of housing rents are making it very difficult for people to find affordable houses in the city and in the surrounding areas, according to data recently released by the National Low Income Housing Coalition.
According to the study, rent for a two-bedroom apartment has risen by more than 30% since 2000 in the city, with average monthly rent averaging $640. This means that those who receive minimum wage would need to work 75 hours a week to have enough money for the recommended 30% of income to be spent on housing.
Local realtors have stated that this makes housing a burden on most residents of Greenville. Rents are high, which makes it difficult for renters to pay their monthly dues. At the same time, more people are looking for places to rent because of the increased number of homeowners losing their houses to foreclosure auctions in South Carolina. Most people need to rent, but rental rates are hard to afford. Either way, finding affordable homes is a challenge.
Real estate analysts have stated that supply and demand contributed to rising rental cost and that low income employees are the ones having the most difficulty in finding a home. It is practically impossible for them to find a way on how to buy foreclosed houses for sale, so renting is their only option. However, rents are escalating faster than wages are rising, analysts have stated.
They also claimed that developers and landlords will likely blame rising prices of land as the reason for the increase in rental rates. However, analysts believe that there is more than one reason, not least of which is the added burden of increased homes under Greenville foreclosure auctions. They predicted that rental rates are never going to decline, so wages and household income should increase so that families can pay their housing dues.
According to the Coalition report, a worker would have to earn $12.31 an hour, working full time, to be able to afford a rent of $640. This estimation was based on the standard suggestion that only one-third of a household’s income be spent on housing. The report, according to its authors, aims to provide an estimate of how much a person needs to earn in an hour to afford his or her rent.
The report also emphasized the need for residents to learn to take responsibilities over their spending. According to the people behind the report, some renters do not pay attention to the rent, they just take a rented property once they decided that it is something they want to live in, regardless of whether the place is something they can afford or not. The report from the Coalition reminds renters that they should make sure that the rent for a home should not take more than 30% of their monthly income.
The increase in rental rates and the high number of homes under Greenville foreclosure auctions are contributing to the difficulties faced by city residents in finding affordable dwellings. Real estate experts predict that the trend will continue for the rest of the year.
Author Resource:-> Original Post: Greenville Foreclosure Auctions and High Rent Create Problems on ForeclosureDeals.com.
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