– Concessions galore! In the month of October, Zillow reported that a whopping 30% of rentals advertised had something extra to offer. These sweeteners included free parking, waived application fees, or even months of free rent. The landlords really seem desperate to reel in the tenants.
– Zillow plays Santa – The platform’s data revealed not only were concessions being offered, but their average value increased by 7%. In simpler terms, landlords are increasingly willing to add more bells and whistles, or in this real estate language, more concessions to get their properties rented.
– Class division, but not the ones we’re used to – Class A properties, which are typically luxury accommodations, offered more concessions than Class B or C properties. The upper crust of the rentals market is leading the freebies race, making high-end living a little more attainable (or less out-of-reach for the rest of us commoners).
– The wonders of the West – San Francisco, the city that loves to break the bank, experienced the highest spike in rental concessions. The fame of SF has taken a hit, but it sure paves the way for some pricey real estate deals!
Real Estate Reels – Zillow and Concession Stand
Collection of Concessions
Landlords Luring
You’ve got to love the irony of the P.T. Barnum saying, “There’s a sucker born every minute” when the circus of freebies, concessions, and discounts is put on by landlords in their bid to entice tenants.
In a bizarre twist that would make Dickens’ character Scrooge gasp, San Francisco, the city of golden gates and expensive taste, led the charge with the highest surge in rental concessions. With the city’s usual bank-breaking reputation, this seems like a rich plot twist in the story.
Apparently, it’s not just contented cows that come from the west; generous rental deals do too! Apparently, this is what it takes to rent out high-end apartments these days. The landlords seem to have adopted a new business plan: if you can’t attract them with the ‘view’, distract them with the ‘freebies’! Whatever the strategy, it appears to be a renters’ circus out there, with landlords playing the ringmasters.
The Concessional Conclusion
Waving the White Flag in the rental market
Now hold onto your hats, folks, because it’s time for the closing act- the ‘Hot Take’. The world of real estate appears caught in a concessions frenzy right now. From free parking to free rent, landlords are throwing in every concession short of a Jester’s hat and magic tricks.
It’s a bird, It’s a plane, It’s… Oh nevermind, it’s just another landlord tossing freebies from the attic! But whether these concessions make a significant difference or merely act as a band-aid solution to a deeper problem, is something only time will tell.
So, while you ponder on the real estate economy’s Shakespearean to be or not to be dilemma, let these embellished statistics make you giggle. After all, real estate doesn’t have to be all doom and gloom; sometimes, it’s more of a concessions-logue.
Sweetening the Deal or a Sour Patch? The Final Act
In the grand circus of real estate, the landlords are juggling, renters are laughing, and we’re all waiting to see what zany trick will come out of the big top next. As we say in the biz, “The show must go on!”
Original article: https://www.inman.com/2023/11/20/rental-concessions-rise-as-new-inventory-comes-online/
