The next bubble?

A friend posted on facebook this evening:

“I cannot believe the EXORBITANT rent rates today!  One measley  bedroom apt in a not-so-great place,  goes for $1650! wth? how is that even possible!  apt renting will be the next bust in America! ”

I’m uncertain where this FB friend lives. I know in some cities that renting can be very expensive.  You hear financial talking heads advising people to rent instead of buying. And because the housing market has been negative the past few years, the rental housing market has become quite competitive.

Some of those financial talking heads act as if renting is cheaper than buying.  Not always the case. And forget about saving 20% for a down payment on a home when your rent is sky high.

Let’s hope the rental housing market is not the next bubble.

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