Rising rental home costs have prompted some Southern Nevadans to turn to homebuying in order to save money.
Some rents have seen more than a 20 percent jump thanks to increased demand across Las Vegas. According to analyst CoreLogic, the Las Vegas Valley had the second-highest year-over-year increase in single-family rent prices in the country in June 2021 at 12.9 percent.
Real estate expert Andrew Leavitt, CEO of Pay It Forward (PIF) Lending, said there’s a few reasons for this, including a rush to settle in Southern Nevada from surrounding states, including California, Oregon and Washington.
With increased demand came increased rents, with mortgage forbearance options and eviction moratoriums due to COVID-19 also playing a part.
“And increasing rent during a lease is allowed if it’s in your rental agreement,” Leavitt said, adding that Clark County and the state of Nevada currently have no limits on how much rent can be raised. “The best way to avoid all of that is to buy if you can,” he said.
For those hoping to find relief from rising rents by purchasing a home, down payment assistance programs may help them accomplish their goal faster by offering down payment requirement and leaves money left over to help pay closing costs. On average, most buyers can close on a home loan with less than what they need to secure a home rental after paying the first month’s rent, security deposit, application fee, and the many other home rental costs that total thousands.
“You can’t rent any cheaper than this,” Leavitt said, noting that monthly mortgage payments have decreased due to the lowest interests in history seen in 2020 and 2021.
PIF Lending is at 4155 S. Buffalo Drive, No. 101, in Las Vegas. For more information about PIF Lending, visit https://www.payitforwardlending.com or call 702-800-4664.
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Source: Andrew Leavitt — piflending.com