Why buy now when you can rent?
That's a question that seems to be ever-present in our comments here.
Who knew that that would also be the question posed by builders offering new (and newer) construction?
But that's what's happening. Among homes now simultaneously for sale and for lease, MBC notes:
Why buy now when you can rent? That's a question that seems to be ever-present in our comments here.
Who knew that that would
also be the question posed by builders offering new (and newer) construction?
But that's what's happening. Among homes now simultaneously for sale
and for lease, MBC notes:
- 2105 Oak (new, 95 DOM) – list price: $2.19m, rental price: $8,500/mo.
- 2709 Oak (new, 373 DOM) – list price: $2.29m, rental price: $8,500/mo.
- 3611 Vista (new, TH, 45 DOM) – list price: $1.85m, rental price: $7,500/mo.
- 217 Sea View (big remodel, 5 DOM) – list price: $1.52m, rental price: $5,300/mo. (lease-option available)
- 512 John (newer, 190 DOM) – list price: $3.99m, rental price: $20k/mo.
MBC is pretty certain two recent listings at $2m+ in the Tree Section were rented instead:
- 2609 Oak (new), listed for 400+ days at $2.3m-$2.4m – no info on rental price
And we also recently saw the
most expensive listing in the Sand Section go rental.
232 16th,
cum 234 16th, rented for $9,500/mo. instead of selling for $4.55m (70 DOM).
For new construction, we're guessing that "just rent it out" wasn't part of the initial business plan.
It's a stopgap. These folks didn't mean to become landlords.
And yet, offering your new stuff for lease has got a
bullish edge. Doesn't it convey that the builders expect demand and prices to recover in the near term, so they can later take the profits they penciled out at the start? An intriguing gamble.
Please see our blog disclaimer.
Listings presented above are supplied via the MLS and are brokered by a variety of agents and firms, not Dave Fratello or Edge Real Estate Agency, unless so stated with the listing. Images and links to properties above lead to a full MLS display of information, including home details, lot size, all photos, and listing broker and agent information and contact information.
Based on information from California Regional Multiple Listing Service, Inc. as of July 27th, 2024 at 7:30am PDT. This information is for your personal, non-commercial use and may not be used for any purpose other than to identify prospective properties you may be interested in purchasing. Display of MLS data is usually deemed reliable but is NOT guaranteed accurate by the MLS. Buyers are responsible for verifying the accuracy of all information and should investigate the data themselves or retain appropriate professionals. Information from sources other than the Listing Agent may have been included in the MLS data. Unless otherwise specified in writing, Broker/Agent has not and will not verify any information obtained from other sources. The Broker/Agent providing the information contained herein may or may not have been the Listing and/or Selling Agent.