Opportunity in the rental market is actually heating up. Rates are rising, vacancies are dropping, and backers are looking at buying properties for long term rental income.

Owners have enjoyed the advantage since the housing emergency as increased interest from renters coincided with very little new supply of rental units. Rising mortgage rates, tighter borrowing wants and higher home costs have taken many individuals out of the house buying market. And, many remain burned by the housing crash and don?t wish to own a home.

The most recent Rental Screening Solutions industry report released by TransUnion found that average rental costs have increased almost 4% nationwide last year while the credit possibility of applicants for those properties as measured by TransUnion’s Resident Scoring Model has gradually improved, with a typical improvement of 1% in the last year.

Although buying a home is 35 p.c cheaper than leasing over the long run, a rising percentage of Northern Americans choose to sign a lease instead of a deed. Pros forecast home possession will fall even farther in the following couple of years.

Buying isn’t the „American Dream“ any more. The North American Dream used to be equal in the North American psyche with home ownership. Not so any more. Today, the most well-liked definition of the North American Dream is retiring with financial security, followed by being debt-free, according released in Sep by Credit.com. Just 18 percent related that buying a home was the North American dream.

According to Zillow data, home-ownership rates are anticipated to fall below 65% in 2014, the lowest level since the mid-1990s and an advantage to real estate investors who will see increased requirement for their rental properties and continued increase in average leases and home prices.

These rising home costs will inspire Americans to move, but to more cost-effective areas where housing is more reasonable. Urban areas like Atlanta, Dallas, Houston, Indianpolis and Kansas Town may continue to see a growth in residents and make great investment markets to build up your tunkey real estate portfolio.

Push the link below to see the inforgraphic: http://www.noradarealestate.com/blog/welcome-to-the-rental-boom/.

Marco Santarelli is an investor, author and founding figure behind Norada Property Investments — a nationwide real estate investment firm providing turnkey investment property in expansion markets around the U.S.. For more articles like Welcome to the Rental Boom!, please be happy to visit our Property Investing Blog where it was initially printed.