Why is renting a place to live so convoluted?

[Deus Machina]

The big problem around here, is just not being able to get a mortgage. Been declined for a $700 mortgage because I didn't make enough, but if you can still find a place that low, you'll manage to get into an apartment at $2200 a month. And then they'll raise it 20% a year.
Banks want to make money on a mortgage. When they can't do that, they only want to loan to people so rich they make money on their fees and get the liability back quick.

[sniper97]

There are alot of regulation in banking, ability to repay is one of the rules. If you can not afford the pmts, and the bank makes the loan, you can sue the bank after the foreclosure. Also, most banks work on very small profit margins, really can't afford to take many loses. I hope your situation improved. Maybe a co-signer or buying bond for deed?

[Chuck E Ducky]

It comes down to debit to income ratio and credit history. How much debit you have to how much you make to your ability and likelihood you will pay your debit. Any debit you carry acts negatively against your debit to income ratio. Also if you are applying with a significant other they do not average the two credit histories together. What you get is the lowest of the two. Credit history sets the parameters so the lower your credit score the higher the risk of the loan. Higher the risk the more interest = higher payment. This then lowers the amount of money you can borrow.

Because you are in Florida many people are fleeing tax burden states. In your state the increase of the cost of homes comes from the influx of outside money. This is what is driving home sales in FL way up. Income in your state has not adjusted to the massive flood of outside money. People are pulling there money out of stocks and buying property FL market is hot and even if the market falls on its face in a year FL will be a desirable state and easily bounce back. Florida is a good safe bet for property investors, taxes are low, and desirable.

This will push locals out for sure, and make it hard to buy.

Silver lining with interest rates spiking some banks may take on more risk and loan more money. It will just cost you a lot to do so.

Things you can do to improve your situation.
Work on paying down high interest rate Credit card debt first. If you have new car loans sell them buy something cheap to get your to and from. Pay down any debit you have you want your credit cards sub 50% the max limit. Make your payments on time. This will improve credit quickly. There are ways you can improve it by challenging your credit history. There is a lot of info online how to do this. However it takes leg work and the knowledge of how to do it. It’s not easy. But what is easy is starting small and living within your means. Lowering your debit to income is not easy but it can be done.

[Mr. Hick]

Just do what all the cool kids are doing: Sell all your worldly possessions, buy a small camper and pick-up and float around the country from RV park to RV park. Stay a week at a whack, move on a couple hours down the road.

RV sales nationwide are way up....
The industry believes its people vacationing. It's not. It's people who can't afford to rent, and are unable to buy a house that work from home. Our local campground (middle of no where southern NH without a single mountain or attraction near by) is booked until they legally have to shut the place down in the winter. He estimates the average age is somewhere in the mid twenties of all the out of state people. They are living in their campers.

So, If that is living withing your means, feel free to become a gypsy.

[martix_agent]

RV sales nationwide are way up....
The industry believes its people vacationing. It's not. It's people who can't afford to rent, and are unable to buy a house that work from home. Our local campground (middle of no where southern NH without a single mountain or attraction near by) is booked until they legally have to shut the place down in the winter. He estimates the average age is somewhere in the mid twenties of all the out of state people. They are living in their campers..

If you want to make any sort of non-laughable money in the healthcre world, you have to travel. This isn't a new thing, but covid emergency opened the eyes of all workers to it. LOTS of them moved to traveling jobs to the point where they're being brought in as contract workers still, because there's not enough full time workers. A ton of these people are getting campers. My wife started traveling in may 2020, and we just got a loan for one as well. It's a scary amount of up-front cost, but per diam will rapidly pay for it, and then after it's taken care of, thats all your money to save.

I'm sure other industries do this as well, I know it's been happening in wind and oil for years.

[Mr. Hick]

I too lived in a camper working contracts for uncle Sam back from 09-14. The people I'm meeting at the parks in my local town are kids escaping unlivable situations in cities by buying cheap campers and working remotely while using their parents address as a legal address.

That's frighting.

[Tarsun2]

the down side to traveling nurses is that the hospital pays a premium for them and blows the budget for the full time employees. it would be nice if the full time employees made what the traveling nurses made, but thats not the case. and not only that, the budget is spent on them and not increasing the wages off the people that have been there all along.
just kind of ranting here and is not directed at you our your wife. (im sure you guys are very nice people).

the need for employees is there, yes, but its not typically a position that a person right out of high school or the street can fill. there's training and certifications that need to be met. We've been looking for employees for awhile now but the applications of qualified candidates has been minimal to say the least. Either that or we get senior employees looking for a pre-retirement position and are looking to make what they previously made.

what an alarming number of people dont seem to realize is the cost of owning, maintaining, and operating an old school bus as a camper. they pick them up for cheap and then dont realize just how bad the MPG is, the cost of dissel', cost of tires, and god forbid it has dayton and budd rims. if you can find as place to even change the tire, theyll charge a premium. Hows 20 to 30 qts of oil sound lol.

people see the minimal upfront cost and think its going to be free, easy living and then run into significant costs. ive also heard that some states are cracking down on overnight parking for campers, vanners, and others of the sort.

overall its just a rough time right now. for everyone. i cant believe Starbucks is cheaper than gas right now lol
im at $300/month for gas to and from work. its nuts.

[Chuck E Ducky]

Yeah it’s like $300 a week to feed a family of 4 on top of that and that’s shopping sales and coupons. Two good incomes coming in and we still got to watch how we spend our money to live within our means. People are really going to be struggling come heating season and when they run out of credit. You know them stimulus checks are long gone.

[Headshotted]

So I'm back, after applying for like 5 different places, and I'm still sticking by my statement of "Man, this blows." I'm hoping I can find a place to buy on the east coast (even as a fixer-upper) over the next year, after I sell my place here. This has been an enlightening experience so far and I absolutely hate it.

[Siress]

Sorry, bud. We put in 10 offers over asking before landing the place we snagged - and only because I was willing and able to put in the sweat equity as a second job for....well, still doing it 10 months later.

[Tarsun2]

where about on the coast?

[estin]

the main reason is a large amount of people do not pay their bills, therefore the property owner has to raise rent and put in obstacles as a hedge against getting screwed.