Leaving the Big Apple Behind
September 8, 2019 by Marty Orefice | News, Real Estate
So many people dream of moving to big cities after college, like New York or Chicago. Places where they can find work at a major company with great benefits, growth potential and bragging rights. At least, that's what we've seen heard in movies.
In reality, these cities are facing a net exodus – more people are leaving them than moving in. In the debate between big city shine and small-town charm, small-town charm is beginning to win – but not by so much. Rather than moving back home to their small town, people are choosing to big cities at a smaller scale.
How is the Population in Metropolitan Areas Changing?
Bloomberg shared that between July 2017 and July 2018 about 200,000 people left New York City. The city is facing a net exodus of about 277 people per day, which is more than double last year's daily net loss.
People are bailing on Los Angeles and Chicago too but in smaller quantities. Los Angeles loses net 201 people per day and Chicago loses net 161 people per day.
Whereas, smaller metropolitan cities are seeing net growth. Like Orlando, which gains 137 people per day and Phoenix, which is gaining 200 people per day. Other top cities include Denver, Houston, Oklahoma City, Philadelphia and Lakeland (Florida).
Oddly, Seattle made it into the top 10 metropolitan cities with growing populations despite the fact that rent costs are the fourth highest in the United States.
How Can You Take Advantage of These Trends with Rent to Own?
If people are moving to the area you're renting in, you know that the demand for housing is increasing. This gives landlords the opportunity to raise the cost of rent as there are more people looking for housing. When you rent to own, you lock in a rate for rent and then you lock in your monthly mortgage payment. This decreases your levels of uncertainty about how much you're budgeting each month for housing.
More so, when you purchase the home, you know there's a steady influx of potential buyers to purchase it should you choose to move. As opposed to areas where there is an exodus and housing may stay on the market longer.
More so, if you own property in one of the areas where people are moving away from, consider putting them up for lease-option. You'll attract a larger pool of potential buyers and, then, you can use the money from the sale to purchase in one of the growing markets.
