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Sun May 6, 2012, 04:57 PM

Rents soar as foreclosure victims with tarnished credit, young workers seek housing

Rents soar as foreclosure victims, young workers seek housing



A nation still struggling to clear up one housing debacle has run smack into another soaring rents.

The foreclosure mess has pushed millions of former homeowners with tarnished credit into a competitive apartment market across the U.S. Add fresh demand from young workers, few new units and tight standards for home loans, and the result is rental sticker shock not seen in years.

Rents are surging from New York to Los Angeles. The average monthly U.S. rent for apartments hit $1,008 in the first quarter, pushing past the all-time high set in the third quarter of 2008, according to the data firm RealFacts. USC's Lusk Center for Real Estate forecasts a 10% jump in Los Angeles County rents over the next two years. In certain markets, it is now cheaper to own a home than rent.

Menachem Krinsky of Hancock Park recalls how in late 2008 every street seemed ornamented with "for rent" signs when he first moved to Los Angeles from the East Coast. Back then, his landlord was so desperate to keep him as a tenant that he slashed his rent of about $2,000 by $800 after Krinsky's first roommate bailed on the lease.

These days, however, Krinsky's search for a one-bedroom apartment costing around $1,500 is shaping up to be a major headache.

how much does a 1 bedroom apt. rent for in your town?

http://www.latimes.com/business/la-fi-renters-nightmare-20120506,0,7137775.story
29 votes, 1 pass | Time left: Time expired
under $500
4 (14%)
$501 to 750
10 (34%)
$751 to 999
8 (28%)
$1000 to $1250
3 (10%)
$1250 to $1499
1 (3%)
Over $1500
3 (10%)
Show usernames
Disclaimer: This is an Internet poll

28 replies, 2901 views

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Arrow 28 replies Author Time Post
Reply Rents soar as foreclosure victims with tarnished credit, young workers seek housing (Original post)
Liberal_in_LA May 2012 OP
xchrom May 2012 #1
jannyk May 2012 #2
FreakinDJ May 2012 #3
Liberal_in_LA May 2012 #4
FreakinDJ May 2012 #9
marmar May 2012 #5
ProgressiveProfessor May 2012 #6
HappyMe May 2012 #7
barbtries May 2012 #8
Liberal_in_LA May 2012 #11
barbtries May 2012 #26
FreakinDJ May 2012 #10
Liberal_in_LA May 2012 #12
Kaleva May 2012 #13
Liberal_in_LA May 2012 #15
Kaleva May 2012 #21
Lucky Luciano May 2012 #14
Liberal_in_LA May 2012 #17
Lucky Luciano May 2012 #23
Liberal_in_LA May 2012 #25
Lucky Luciano May 2012 #27
Prism May 2012 #16
Liberal_in_LA May 2012 #20
Prism May 2012 #22
Odin2005 May 2012 #18
KamaAina May 2012 #19
Sen. Walter Sobchak May 2012 #24
Johnny Noshoes May 2012 #28

Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 04:59 PM

1. Du rec. Nt

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 05:17 PM

2. Interesting Poll. K&R

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 05:29 PM

3. Thank Gawd only the Wealthy Elite can capitolize on the New Rental Market

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Response to FreakinDJ (Reply #3)

Sun May 6, 2012, 05:31 PM

4. it does seem to be that way, doesn't it. When housing prices first started to drop

it was thought that the average person would now be able buy a home.

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Response to Liberal_in_LA (Reply #4)

Sun May 6, 2012, 06:00 PM

9. $$ Company Housing $$

make your rent payments at the company store

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 05:31 PM

5. The "Free Market" f**ks people over at every turn.

nt

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 05:52 PM

6. Pass: l live in the twigs (that is past the sticks)

Unincorporated county, 25 minutes to the nearest real civilization. No rentals nearby.

However, I am in the Socal and the rents here are horrible

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 05:59 PM

7. It varies.

Paid $400/month that included electric, gas & heat for a larger studio.

Paying $850 for 1 bedroom, hardwood floors, okay sized kitchen, gas & electric extra. Utilities run 50-60 bux monthly.

Not a 'young person', looking to make $8/hr at a local cosmetics supply house.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:00 PM

8. it could be more

but i have a 2 bedroom in raleigh NC for less than $750. back in LA my dump in a lousy area went up to $1150, which is what directly led to my moving to NC.

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Response to barbtries (Reply #8)

Sun May 6, 2012, 06:05 PM

11. that LA dump would no cost you more than $1500 (2 bedroom)

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Response to Liberal_in_LA (Reply #11)

Sun May 6, 2012, 07:37 PM

26. probably.

and i still want to get back home. my granddaughter was an infant when we moved, in Sept she starts kindergarten.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:02 PM

10. I am barely hanging on to my 3 bed 1 bath Home on 1/2 acre

My mortgage payment is $1100 including tax and insurance. No way I could rent this house that cheap

thinking of tearing up the back lawn and growing food fence to fence thou

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Response to FreakinDJ (Reply #10)

Sun May 6, 2012, 06:06 PM

12. take in a renter?

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:07 PM

13. You can rent a small house for $200-$300 a month, plus utilities, where I live.

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Response to Kaleva (Reply #13)

Sun May 6, 2012, 06:10 PM

15. omg. In LA, renting a room in a house can run $800...just a bedroom

car insurance is almost what you are quoting.

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Response to Liberal_in_LA (Reply #15)

Sun May 6, 2012, 06:19 PM

21. Of course, there are very few jobs here. Thus the very low rent.

Nice homes can be had for $40k-$60k. For people that are retired and on a fixed income, parts of Upper Michigan could be a good option.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:08 PM

14. $3,000 is about avg here

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Response to Lucky Luciano (Reply #14)

Sun May 6, 2012, 06:12 PM

17. twice that of LA, you must be in NY or DC

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Response to Liberal_in_LA (Reply #17)

Sun May 6, 2012, 06:42 PM

23. Yep. NYC - DC is prob 2200 or so.

I pay $3000 because I locked up a good deal in 2009. We need a two bedroom, but we opted to buy a car instead. Two bedrooms go for 4500-5500 depending on various factors. Can be 7500-8000 in a very nice building in just the right neighborhood (right near union square, west village, TriBeCa, etc).

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Response to Lucky Luciano (Reply #23)

Sun May 6, 2012, 06:47 PM

25. 3K sounds like so much money. I pay lots less as mortgage on a bigger place. can't even

imagine paying 3k to own, let alone rent. omg. LA rents always stun most people. Your 3k rents stun me.

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Response to Liberal_in_LA (Reply #25)

Sun May 6, 2012, 07:40 PM

27. Owning is crazier. $1MM mortgage for something decent

...that can hold a kid and a pit bull. Get 1000 sq ft for that maybe, which is livable. Condo fees add another $1500 per month or more. However, being here does have its opportunities which is why I pay for it. Hope to do well for ten years and move to a cheaper locale for semi retirement to teach or something - and take up a hobby to learn as many languages as possible before death.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:12 PM

16. East Bay is ridiculous

Forget San Francisco (I've friends paying $1200+ a month to live in closets). It isn't even that the rent is bad in a place like Berkeley ($1100-$1600 for one bedrooms). It's that the deposits required are totally absurd. When I was looking last year, one bedroom apartments were asking for upwards of $2500-$3000 deposits in some places.

I lucked into a great place for only $875 a month - and I know I was absolutely freaktastic lucky in finding it. It helped that the property manager liked us even though about twenty people applied within the first week of the listing. I think she thought me and my boyfriend were going to do that Gay Magic Trick of massive renovation and upgrading.

Tch, we showed her.

I have friends only two miles away paying almost double what I am for places that are smaller. I am never leaving this place.

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Response to Prism (Reply #16)

Sun May 6, 2012, 06:15 PM

20. When the economy began tanking, places in LA started offering deals on the deposit.

banners on the building quoting $200 or $300 to move in. I think the deposit is paid over several months. They realized no one had $1500 to move in. Most deposit I ever paid when i was a renter was $800 I think. maybe less

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Response to Liberal_in_LA (Reply #20)

Sun May 6, 2012, 06:21 PM

22. Yeah, this place was $1500 to move in

When it was first listed, I had just gotten into a bicycle accident the previous day. No major injuries, but I literally couldn't move from being so battered and bruised. Then my boyfriend noticed the listing, and I literally crawled into the car and went because I wanted it so much. I spent the entire viewing standing in once place, trying desperately not to grimace at the property manager.

I just looked at craigslist out of curiosity, and the first listing I noticed was $1895 for a one bedroom in Berkeley.

People are insane.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:13 PM

18. My rent (1BR) is $450 per month. I'm in Fargo.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:15 PM

19. Disclaimer: My $1100 rent is probably below market

it's an older '70s-era unit, with no AC, in a less-than-stellar part of San Jose.

A more desirable place would probably run $1500.

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 06:44 PM

24. That depends on how squeemish you are about living in a former meth lab

Meth lab: About $800
Not a meth lab: $1100
Somewhere you would have your parents over: $1400

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Response to Liberal_in_LA (Original post)

Sun May 6, 2012, 07:56 PM

28. My one bedroom in Queens -

$815 - but I've been here for over 20 years and it is rent stabilized. I've seen the signs in the real estate office around the corner from me and some apts the same size as this go for nearly twice what I pay. It is obscene. I hope I find a job before all the extensions run out.

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