2021 Rental Market Forecast
2021 is around the corner, and during this time of year, it’s very common for most economists and investors to start thinking about the year ahead.
There’s no denying that this year has certainly been a memorable year, thanks to Coronavirus, civil unrest, the election, and also economic instability.
With all the things that we’ve experienced this year, it’s understandable that people want to know what they can expect the following year, especially in the rental market. This is why in this article we will break down some of the things that we think you should keep an eye on during the 2021 rental market.
Rental Market Update
The first thing that every landlord and tenant has on their minds right now is evictions. It’s understandable why this is such a Hot Topic because there are tenants across the Portland area, the United States that haven’t paid their rent for up to one year due to Covid-19 and the eviction moratoriums.
When a landlord hasn’t been able to collect rent from their tenants for along this means that they have to cover the cost of their mortgage and other expenses themselves.
Right now, landlords are looking towards 2021 as being the year that they can finally move forward with evictions once again and get their rental properties back into profit.
The big question is will evictions be allowed to move forward in 2021? Especially when so many people in the State, and Federal Government, are eager to prevent it? The answer to this question is it’s anyone’s guess.
Unless we see a massive eviction and foreclosure bailout bill combined, evictions are going to have to move forward in 2021 but, it’s possible that once evictions are allowed to move forward, landlords and tenants may be forced to negotiate before landlords can start the eviction process.
More Landlords Will Go Digital
The next thing on the list that landlords and tenants should look forward to in 2021 is seeing more of the rental market embrace digital technology. This means that we can expect to see more landlords using services like rently.com or at appfolio.com to market rental properties.
The great thing about incorporating both Rently and AppFolio is that property management companies like ours can market and rent our client’s properties online. This streamlines the process of property management and enables us to also rent to the most qualified tenants possible.
Roommates Will Come Back Into Focus In The 2021 Rental Market
Even though roommates have always been a part of the rental market across the United States, we can expect more people living with roommates in 2021 than in years past.
With an ongoing pandemic and recession, people will likely be living with roommates to split housing costs, and other expenses, so that they can avoid the lean years of the recession and continue living the lifestyle that they want to live without having to shoulder the burden of housing costs that they currently face.
Outward Migration May Increase
Another trend in the rental market that could come into focus in 2021 is outward migration, especially in California as residents of cities like San Francisco are eager to skip the high cost of living by moving to more affordable areas.
If the outward migration trend continues along the West Coast, we can expect to see more people moving from cities like San Francisco to Portland in the coming year. This is to be expected especially since Portland continues to have affordable rents when compared to San Francisco and other cities in California.
Will Rents Drop-In 2021?
Last of all, but most important, another issue that is on the minds of most tenants and landlords across the United States right now is will we see a drop in rents nationwide?
The answer to this question is wait and see because with a possible eviction and foreclosure waves on the horizon, it’s likely that we may see more inventory become available in 2021 which could drive rents down.
Contact Rent Portland Homes – Professionals
For more information about what to expect from the rental market in 2021, or speak with us about our -Property Management Services, contact us today by calling (503) 447-7735 or click here online.
