There is absolutely no denying that the coronavirus has had devastating effects on the world. Since March, millions of people have lost their jobs, fallen ill, and have had to learn to adapt to what we are now calling a “new normal.”
While it is true that COVID-19 has also had serious effects on the housing market – what with many renters unable to make rent, owners unable to pay their mortgages, and court processes delayed due to gathering restrictions and the massive influx of cases – there have been some surprisingly positive trends in the rental market.
1. People want to move to the suburbs
Because the coronavirus was heavily spread in cities with high concentrations of people, urban areas have seen a decrease in population with many people moving back to their hometowns or seeking out a home to purchase (or rent) in the suburbs. For those who own multiple properties in the suburbs, this is prime time to get your second home listed for rent and occupied.
2. Single-family homes are in high demand
People are seeking out homes that they know they will be safe in. Multi-unite dwellings aren’t as safe as they used to be merely because there are more people in them which means a higher probability of getting sick. Both families and individuals are attracted to renting out single-family homes in which they can control the amount of people they come into contact with on a daily basis
3. CARES Act supplied renters with financial security
In a world where nothing is certain, it’s understandable that people may not want to purchase a home for the first time. Instead, they choose to continue renting as they always have, because it’s familiar to them. The CARES Act that was enacted by Congress gave millions of Americans the means to continue paying their rent throughout the pandemic and stash away some extra for savings, allowing them to continue to pay their rent.
4. COVID-19 slowed bank processes
In fact, there was hardly any industry that did not get backed up because of COVID-19. Going through the rental application process is considerably easier than that of purchasing a new home. Therefore, people have been keen to renting during these uncertain times, knowing that they can get settled into a new home faster than if they were to make an offer, obtain a mortgage, and move into their own home.
Rental Income is Holding Fast!
Although it might come as a surprise, rental income is as steady as ever. In fact, Moon Ridge Property Management in Bel Air, Maryland has had their rental properties leased within 3-5 days and have only had three tenants move out due to the effects of COVID-19.
Working with a strong rental management company in Maryland will ensure that you, a property owner, will rent to tenants that can withstand the changing times. Through in-depth background checks, current home inspections, and the promise that your property is in compliance with all Fair Housing Laws, the right property management company will see that your rental property income continues to flow, come what may.
Moon Ridge Property Management can do all of this for your rental property, and more!