I’d like to take this chance to reach out to potential investors and renters to talk a bit about the Tucson market and how it may affect you.
First, let me point out that rental rates are rising two to three times faster than the appreciation of new homes. If you’re a renter, you already know this, because you’re probably seeing your rent go up.
Here in Tucson, our average sale price for a home is $217,000, which is pretty competitive as far as the country goes. If you pay $1,300 to $1,400 a month in rent, you can actually buy an average-priced home in the Tucson market for the same amount. Interest rates are still very low, but they will start to inch up as the economy improves.
If you’re a renter getting pushed around with rent and you’re thinking about buying a home, talk to a lender and seriously take a look at what you could buy for the same amount of money you pay every month in rent. Then, you could have the additional tax write-offs at the end of the year that you don’t get as a renter.
As for investors, now is a good time to start looking at properties. Prices are going up and inventory is going down, so it’s getting a little more complicated. The point is that the return on investment today in the Tucson market for investors buying a rental property is probably higher than it’s been in the last couple decades.
If you’re a renter or an investor looking to buy a property, don’t hesitate to give me a call or send me an email today. I’d be glad to help you in any way that I can.