What we can expect from the Rental Market in 2023
So, I’m not saying that I can see into the future or anything, but all of my predictions from last year came true. I had a sneaky feeling that we would see interest rates rise, and that we certainly did. I believed that sale prices would stay high, but that properties would sit on the market for just a little bit longer, rental prices would stay high too and restrictions would come in surrounding Airbnb.
How does all of this affect investors like us?
As we spoke about a few weeks ago here, despite increasing interest rates, now can still be an excellent time to buy. With many potential purchasers being put off by the heightened rates, the rental market will BOOM. More and more people will be looking to rent a place rather than buy, which means increased rental prices and more choice over who will rent your property.
Next year’s predictions are:
🌟 Interest rates will continue to scramble
If you’re looking to buy, do it sooner rather than later! I don't think we have hit the top just yet. While I do expect them to come down, I don't think that will be until very late in the year...and the amount? Well, I don't think they will be dropping very quickly either.
🌟 Rental prices will stay high
We will see rental prices stay high and continue to climb, giving you a opportunity to generate higher rental income. Due to inflation and higher mortgage rates, many people will have to stay as renters which means less supply and more demand. Prices will be driven by this of course.
🌟 We will see more legislation to conserve local long-term rentals
Over 2022, we saw AirBNB make changes to its platform and I expect to see more of that in the new year. Also, with the changes mentioned in my last bullet, it will be interesting to see what municipalities do with short term regulations. Stay up to date with important news and changes in the Lady Landlord Facebook group!
Listen to this week’s Lady Landlord podcast episode to hear my full predictions!
Well, ladies, happy holidays to all of you.
It’s genuinely been another year for the records, 2022 has certainly been a rollercoaster, and I've loved sharing the ride with you. What will 2023 bring us?