Soaring numbers of rentals go condo

[snoogit]

Looks like Grand Rapids isn't alone

The number of apartments being renovated and sold as condos is escalating at a time when single-family homes are beyond the means of many Americans.

[GR_Urbanist]

Looks like Grand Rapids isn't alone

<{POST_SNAPBACK}>

Althrough it hasnt got too far out of hand in GR. I fear this may be the next big thing to hit the housing sector in this city. It seems too easy to by an apartment building and either force the tennents to buy or get out. Many of those tennents are barely holding on and this just knocks them right out. I only wish I could build my own apartment buildings. It breaks my heart to see people lose there place like some of the people in the article.

[superNOVA]

Actually this can be a good thing, if costs remain low. Granted, this probably would not make sense for a lower income apartment complex, and I doubt that the money would even be there to attempt it.

It is good for older singles, college grads, etc... that are not well off enough to get a home but could afford a cheaper condo, while gaining the benefits of ownership - which are many. If given the chance to either rent a place, or spend 10% more to own it, the decision is simple.

In most cases, the ownership option would be less expensive. A few of the apartments around town I have lived in were more expensive than starter homes.

[GRDadof3]

I would think this would be a good thing. Homeownership is usually good for the neighborhood, as well as helping people start to build wealth. I don't see a shortage of rental signs when I go around downtown, that's for sure, for those people who want to rent or can't afford to buy. And I would guess it is because mortgage rates are still so low. Maybe I am missing something.

[snoogit]

I would think this would be a good thing.  Homeownership is usually good for the neighborhood, as well as helping people start to build wealth.  I don't see a shortage of rental signs when I go around downtown, that's for sure, for those people who want to rent or can't afford to buy.  And I would guess it is because mortgage rates are still so low.  Maybe I am missing something.

<{POST_SNAPBACK}>

Mortgage rates are hovering at around 5%, so its still a bargain. You can figure a 30 year 75,000 moortgage is going to have payments of $500 a month as opposed to most apartments which can be $700 or more depending on rent.