Different Date, Same Story

Different Date, Same Story
By: Nicholas A. Dunlap, CPM

Today’s register reveals what many in the industry know and have seen for quite sometime: one-time homeowners who have lost their homes through foreclosure or have been forced to sell-short their homes are in need of a place to live. For landlords, this relatively new class of renter, a “born-again” renter if you will, has been increasingly prevalent in the marketplace over the past 3 years. Essentially, these renters are a godsend for landlords who had previously experienced increased vacancy levels and heightened expenses as a result of job losses and brief forays into homeownership.

Having gone through a foreclosure, it is important to understand that their credit will most likely be shot. With that, it is important to consider not just the FICO score, but their history of paid vs. unpaid accounts and good vs. bad accounts. Unlike some of the more traditional credit criminals or walking wounded who apply, the born-again renter is looking to improve their credit and own again in the future.

What struck me as odd about this article is that it is relatively old news. In fact, I blogged about this trend in March of 2009 here: Property Lines: Ushering In A New Wave of Renters

You can read the OC Register’s article here: http://www.ocregister.com/articles/rent-273498-county-apartment.html

And remember, when you want to know something specific and industry related: ask a professional, not the press.