More rental properties enter the housing market – WKRN-TV NEWS 2 Nashville, Tennessee, USA


Posted: Jun 30, 2009 4:24 PM CDT


The slow housing market is forcing more and more mid-state homeowners to put “for rent” signs rather than “for sale” signs in their front yard.


Crye-Leike property management says many homeowners who tried to sell, and couldn’t, are now opting to lease their homes to make some money off the property.


“We’re seeing a lot of owners that have tried to sell, the market is not where they need to be so they end up needing cash flow,” said Ben Claybaker of Crye-Leike. “Maybe it’s been on the market for three to six months.”


Claybaker says his division manages about 300 properties around middle Tennessee, and he’s seen a rise in the number of people jumping into the rental market since February.


“There’s a lot of potential buyers, but are renters now that want to see if the next six months, the winter months that prices will go further,” he said.


Claybaker says the type of homes up for lease are much more varied than they used to be.


“Now you’re seeing a whole range of inventory coming in, from single room condos in downtown to five bedroom, four baths in the middle of suburbia.”


One of Crye-Leike’s most recent rentals is a five bedroom, four bathroom home in the Oak Hill neighborhood that will rent for $2500 a month- it was on the market for about $600,000.


Claybaker said, “A lot of people are on that fence wanting to see if they’ll get an even better deal, so they’re going to rent now and buy later.”