Collapse of the Housing Bubble Hits Rental Properties

5 de may de 2007

<body><div id="article"><tr><td height="28" valign="middle" width="184"></td><td valign="middle" width="185"></td></tr><h1>Collapse of the Housing Bubble Hits Rental Properties</h1><p>May 5 (EIRNS) According to Bloomberg.com, U.S. rents are finally feeling the pressure of the housing bubble collapse. Housing rents in the U.S. had risen to a record average of $991 per month during the expansion phase of the housing bubble, but the glut of unsold houses is softening rental prices, as desperate sellers attempt to forestall foreclosure by putting their homes up for rent. Vacant apartments rose to 6.1 percent during the first quarter of 2007. Similarly to the home sale companies, rental agencies are trying to keep from lowering the "sticker price" by tacking on incentives instead, such as two free month's rent in return for signing a year's lease.</p></div></body>