« Rochester Blog

rental market

America becoming a ‘Rentership Society’

August 8, 2011 by in Apartments, Rental Market Info
Comments (1)

Since the housing bubble burst in 2008, millions of homes have gone through foreclosure. But what happens to all the families caught up in the financial chaos? Apparently, millions of them have become renters. The trend towards renting has been so strong in the past few years that analysts from Morgan Stanley recently reported that the United states is quickly becoming a nation of renters.

Graph of US Home Ownership Rates 1965 to 2010

Graph of US Home Ownership Rates 1965 to 2010

In the August 5th CNN Money article, “Home ownership hits lowest level since 1965” Les Christie describes how the US home ownership rate has dropped from 69.2% in 2004 to only 59.2%. While the official numbers show the home ownership rate at 65.9%, the number drops to 59.2% when you factor in delinquent mortgage borrowers (the ones who are likely to lose their homes at some point).

Since Rochester has been fortunate to evade the worst of the housing crisis, and in the process rack up a number of top 10 placements for real estate investing and home ownership, our home ownership rates are quite a bit more steady. The rest of the nation’s real estate has not been so lucky. In fact, the average home price has declined 32% nationally. Despite the ridiculously low interest rates on mortgages, the market just can’t seem to generate buyers fast enough. The two biggest factors being the much more stringent lending practices and the overall decrease in employed people, ready to make a home purchase.

This bubble, and the consequent burst, were surprises to no one with a fundamental knowledge of economics (regardless of what the talking heads on the news have been saying for the past few years). Having been in a position where I could see this disaster coming, I have to confess that I don’t see anyone making the decisions at a national level that are necessary for us to turn this crisis around.

Perhaps the analysts at Morgan Stanley are right, America will be a much more mobile, renter-centric, society for the foreseeable future.

Park Avenue Neighborhood Rental Market Overview

June 17, 2011 by in Featured, Pearl-Meigs-Monroe
Comments (0)

Jembetat Gallery Park AvenueFrom end to end, Park Avenue is packed with things to see and do. That is why, when people call us looking for their new digs, more often than any other answer to the question “Which neighborhood do are you looking to move to?” apartment hunters respond with a definitive “Park Ave, of course.”  The “of course” is usually silent, but implied with their tone, so much so that I usually feel silly afterward for even having asked.  Now, as a connoisseur of Rochester’s neighborhoods, I know of at least half a dozen that I’d be thrilled to call home, but I cannot deny that Park Avenue is very high on my own list as well.  The neighborhood is flanked on either end by Rochester’s only tea house and the city’s only Wegmans, with every inch in between teeming with pedestrians who have come to patronize the clusters of coffee houses, upscale boutiques, beloved eateries, and galleries.

Just North of where Park Avenue starts, at Alexander Street, you’ll find the East End, the centerpiece of Rochester’s nightlife scene. One street south of Park Avenue, Alexander intersects with Monroe Ave, another popular city corridor full of restaurants, shops, and pubs. Being smack dab in the middle of all of this action, its easy to see how Park Avenue became such a focal point for the city. There are so many places on Park Avenue, that we would fill pages and pages with hot spots. Charlie’s Frog Pond and Jines are as much Rochester as apple pie is American. When the long winter finally gives way to the first warm sunny days, people flock to the corner of Berkeley Street and Park Ave to grab a seat at one of these treasured diners. You can grab sushi at Piranha, Thai food at Esan, Mediterranean at Sinbad’s, a glass of wine at Cibon, pizza at Chester Cab, amazing soup at Nathan’s, frozen custard at Abbot’s or gourmet cupcakes at Sugar Mountain Bake Shoppe. Needless to say, it may take your entire first year in Rochester to eat your way all the way down Park Ave. All this excitement draws tons of Rochester’s college students, and the streets are filled with moving trucks at the beginning and end of each school year. If you want a chance to meet everyone in Rochester in one day, be sure to check out the Park Ave Fest which routinely draws more than a quarter million visitors every summer.

Like the East Ave neighborhood, Park Ave is blessed with some of the nation’s most beautiful housing inventory. As Rochester’s first well-to-do suburb, this neighborhood has thousands of well built, stately homes from the 1870’s through the 1930s. It’s not at all uncommon to have stained glass or solid mahogany doors in apartments in this area. While it’s easy to be swept up in the charm of some Park Ave apartments, renters should be very aware of the possibility of loud neighbors, or exceedingly drafty apartments. Old homes are beautiful, but if they haven’t been property insulated, utilities can easily exceed $250/mo for a 2 bedroom apartment in the winter. Be sure to ask about the heat source, insulation and condition of the windows.

The Park Ave neighborhood also offers plenty of mid-sized apartment buildings. Most of these were built between 1920 and 1950, range from 16 to 100 units, and vary in price, condition and amenities. The Barrington is close to the center of the action, and The Parkwin is further East at the quieter end of the neighborhood.