Want to get away for the Winter? Rent first has always been my recommendation to first-time, second-home buyers to make sure you like where you’re buying. Buying a second home in a new area where you haven’t really spent any time carries a lot of risk. In some cities where builders overdid it during Covid, you might even get free rent for a month. The Wall Street Journal’s Rebecca Picciotto reports:
The struggle to find an affordable apartment is tormenting renters in major cities across the country—but not in Phoenix, the U.S. capital of free rent.
About 54% of rentals in the metro area are giving tenants at least one month off their rent, the highest percentage of anywhere else in the country, according to October data from listings website Apartment List. The discounts can range from one month to more than three months. And that doesn’t count the other perks that landlords give out to attract tenants: Amazon gift cards, discounted sports tickets and free moving trucks.
The renter-friendly environment in Phoenix is a symptom of the city’s enormous glut of high-end apartments. Developers flooded the Sunbelt with new luxury buildings and flashy amenities during the pandemic years, when droves of remote workers were moving in. That led to a record surge of new apartments hitting the market. Now there aren’t enough renters to fill them.
Action Line: You want to live your retirement life, but make sure you do your homework. You don’t want to buy a house somewhere you ultimately end up hating. Due diligence is a must for a big investment like a second home. When you want to talk about your investments, email me at ejsmith@yoursurvivalguy.com. And click here to subscribe to my free monthly Survive & Thrive letter.
