There are several reasons why many experts are saying this. For starters, there is currently a large inventory of existing as well as foreclosures for sale which could mean that the housing market will have a long way to go before it stabilizes. Building home equity is actually something that looks impossible right now especially with the depressed home prices.

Choosing to live in a rental property instead of investing in a home actually makes a lot of sense for many individuals. It is really more attractive for those who have been considering relocating, retiring or just downsizing.

On the other hand, if you have just started a family, likes a particular neighborhood and employed securely, buying a home might be a better idea — only if you have considered the total ownership costs. After all, you might have trouble recouping the money you will have to shell out for down payment and closing cost as well as property taxes.

There is also the question of home value appreciation. Again, considering the condition of the housing market, there is a huge possibility that you will not enjoy home equity.

If you are still leaning on home ownership, one of the ways you can play it safe is by digging deeper and doing plenty of research on the particular area you are interested in. Check the incidence of foreclosure and home vacancies, mortgage delinquency trends and shortage of housing units.

But keep in mind that even if you do your homework well, the old belief that owning a home is a risk-free investment is no longer true. This has been rebutted when the housing market collapsed under the weight of the mortgage mess and economic recession.

If you do decide on renting houses, you should not be embarrassed especially if you are having financial difficulties. Instead of using your money for buying a home, you can use it to pay off your debt or put it aside for retirement or emergency. In any case, it will give you a chance to recover from any financial problems.

In new apartment buildings in New Jersey, such as the Alexan, a renter can have a one-bedroom unit for just $1,500, with one month of free rent for a 14-month rental contract.

In another rental building, a two-bedroom unit with two bathrooms can be rented for $1,400 a month. The rent includes access to free garage parking, a resort-size pool, a fitness center, game room, a media lounge, a business center and a clubhouse.

Although the commute from some New Jersey areas to Manhattan takes 45 minutes through a shuttle bus and the PATH train, the trade-offs including amenities, comfort and savings are worth it, according to many renters.

Jacqueline Urgo, head of Marketing Directors that lease several New Jersey rental buildings, said that renters nowadays are looking at options available to them and examining values they can get, including opportunities or savings from renting homes instead of buying.

At the Skyline Ridge rental building in Springfield, most apartment units have been leased. The complex offers views of the Manhattan skyline, access to train stations and highways and relatively low consumer prices.

At the 140 Mayhill apartment building, rents are about 50 percent of rates for similar units in Manhattan and about 30 percent below rents of similar units in Hoboken. According to Jonathan Moore of Value Companies which developed Mayhill, his firm is offering one month of free rent for a 14-month rental agreement.

Moore said that his firm started phasing out some of the amenities after more and more renters applied for units. Current renters recommended the building because of its access to the train station, bus stop and major highways.

Among all the amenities offered, free parking is one of the most appreciated by renters who said they were paying a monthly fee of $400 for parking space in their previous rentals. They also appreciate small perks like door-to-door trash collection.

Renting homes has become a better option for many, not only in New Jersey, but also in other parts of the country where rents have sharply dropped and where landlords offer incentives to renters.

Among the most common problems are those that arise from the rental conversion of a single-family house that was supposed to be occupied by the buyer. Before advertising your property as a rental, make sure your neighborhood or your association allows lease agreements. Make sure there are no zoning restrictions in your area.

Likewise, if you are converting your basement, attic or garage into a rental, make sure zoning codes and neighborhood laws allow your plan. Any extension or construction of a separate entry way for rental space should also comply with building codes in your area.

Oftentimes, neighbors complain if too many rentals depress their quality of life because of too many cars parked on the streets, too much noise or too many irregular extensions that destroy the overall appearance of the neighborhood.

Make sure everything you do in relation to your rental complies with your neighborhood laws, your city codes and your mortgage contract because oftentimes penalties or the consequences on your mortgage are costlier than what you expect to earn from your rental space.

House renting can also affect your home insurance. Consult your insurance agent if changes in your property will void your right to claims. You may be required to buy a policy for multifamily housing.

Another common problem faced by landlords arises from inadequate rental contracts or inability to implement the provisions of the contract. You may have specified penalties and fees for late payment of rents but you are not able to impose them because you are too kind or the tenant turns out to be the worst person you have ever met.

Just like other problems in life, the problem of a delinquent tenant is better prevented than solved. Spend time in screening tenants; do not accept the first one just because there are few people looking at your rental. Many landlords say that a vacant rental is better than a rental occupied by someone who not only refuses to pay but also refuses to leave and destroys your property.

Despite these potential problems of owning or managing rental properties, do not be discouraged. There have been many individual investors who have successfully earned income from house renting. Just research thoroughly, plan wisely and learn from the experiences of other landlords.

If you are staying in a large house with several rooms or with a large basement, you can consider renting the extra space to someone you know or someone well recommended.

Since you may not be able to provide a separate entry and you are going to have some close contacts with the tenant, it is crucial that you know the tenant. It is not profitable or safe renting out space if there are risks to your safety, security and property.

If you are single, a young couple or siblings who own an apartment or condo unit, you can consider moving back to your parents’ home and rent out your unit. Of course, this option depends on your family situation, your level of need for personal space and your need for investment income. But this type of rental option has been done with positive results according to news reports online.

The typical renting for profit option is buying an apartment, a condo unit or a single-family house with the goal of renting it out. This option has been considered by a lot of people because of the significantly reduced prices of residential units available for sale.

The lower prices of foreclosure properties have also prompted a lot of people to consider buying a foreclosed home and then rent it out. Other factors like tax incentives, lower mortgage rates and financial incentives offered by some state governments are also enticing people to think of investing in the residential real estate sector.

But just like in other types of investments, you need to analyze and plan your funds, your cash flow and your ability to manage a rental before jumping into the rental investment bandwagon.

Among the first things you need to consider is your investment money. If you have saved a lot to be able to make a significant down payment on a property and you have been easily paying your monthly loan payment for your existing home and all your other monthly bills, you have a bigger percentage of success.

Consider also that there will be times that you will not receive rental income, that you will need to make repairs and that you will have to pay taxes, insurance and other bills. If you and your cash flow can manage these factors, then renting for profit is a wise investment decision for you.

When planning to start a vacation home rentals business, keep in mind that there is always a vacation home that perfectly suits even the most discriminating renter.

The following are some factors that you should consider when you decide to start leasing your vacation home and operate a homes for rent business.

• Create a business plan and buy a property. The type of vacation property that you can buy depends on the area where it is located. When buying a property, find out the status of the vacation homes rentals in the area where you plan to establish your business, how much you can afford and your cash flow and the kind of mortgage that you have.
• Talk to some people in the area who are already renting their properties to get some ideas. Talking with other homes for rent owners can help you get a feel of how to start your business.
• Know your target renters. It would be easy to promote your business if you know the types of travelers that you want to attract.
• After you have dealt with the legal side of operating a business, it is now time to tackle the daily operation of your vacation homes for rent business. Here are some questions to consider:

1. Are you going to rent your home without using a local property manager?
2. What type of housekeepers would you use if you are going to rent by owner?
3. How much are you going to charge?
4. Are you going to require clients to give a security deposit?
5. What type of payment method are you going to use?
6. What is your refund policy?

Always keep in mind that knowledge and preparation are keys to any successful endeavor.

Families are finding more opportunities for apartment home rentals at good locations and neighborhoods, making these rental seekers eager to grab the deal and transfer as early as possible. However, there are certain things for would-be tenants of rental homes to consider before signing the lease. These things are quite necessary to avoid complications that may arise after some time.

When responding to an ad for homes for rent, you should clarify vague descriptions in the ad. What was written may not exactly be what you have in mind. Ask the owner for an exact description, or better yet, schedule a walk-through of the place. Ensure that the advertised availability is what it says it is. Say your needs upfront like allergy precautions or the presence of a dog with you to avoid any future misunderstandings.

During the ocular visit, try to check all appliances and commodes if these are working perfectly, including heating or cooling. Check for signs of insect or rodent infestation. If there is, ask the owner as to what they are doing to remedy the problem.

Inquire about the status and age of electrical wirings and know what are included in the maintenance policy and what your responsibilities are as a tenant. Ensure that the spaces are enough for your needs, including closet space and other spaces you may need for whatever items or furniture you have. Know if security systems are in place and working. If you are in an apartment building, know what the security requirements are for visitors.

Before you finally sign the agreement for your home rental, double check all documents again for anything that you have missed. You might regret it later if you missed something of value.

In Stamford, Jennifer and Simon Morris and their children share a unit with other families in a shelter subsidized by a charity. They were forced to move to the shelter when the rent at their one-bedroom apartment home rental was increased to $1,425.

Thirty-year-old school teacher Meagan Devine lives with her married pregnant sister in a single-bedroom apartment in the Sunset district of San Francisco. With her take-home pay of about $2,500 a month, she could not afford to pay a single-bedroom apartment home for rent that charges about $2,000 monthly.

Jose Morales, a 78-year-old retiree who emigrated from Peru in the 1960s, is lucky in the sense that he is living in an old Victorian House in the Mission District of San Francisco. His rent in the 1960s was only $80 per month. Now, it is $864, a bargain compared to similar accommodations. But with a pension of only $900 a month, Morales has only $36 for food, medications and other personal expenses for a month.

Morales has been receiving eviction notices from his landlord, who plans to convert the house into a luxury home for rent. But Morales, who is already stooped, asserts he is going to fight for his rights.

According to Sheila Crowley, head of the National Low Income Housing Coalition, single family home rental occupants exert effort to survive from day to day because what is left after paying their rent is barely enough for their basic needs.

In Stamford, an ordinary worker must earn over $30 per hour to be able to stay in a regular two-bedroom apartment home for rent. This makes Stamford the most expensive in the country in terms of two-bedroom-aparment rent.

However, longtime renters and transient individuals looking for homes for rent should understand their rental rights and avoid the issues associated with renting.

When looking for homes for rent, don’t grab the first rental home you come across. Look around for more and scan all available options. It would also help to get online info from listing of homes for rent in your target areas. Check the details and the term of the lease for these homes for rent. Rents are usually fixed and cannot be changed while the lease is active.

Watch out for illegal provisions in the lease like automatic lease renewals, restrictions on guests and pets, unannounced entries by the landlord and other related stuff. Check with local offices of the Department of Housing and Urban Development if such provisions are illegal or not.

In a same manner, report any discrimination that you receive from the landlord or owner of the homes for rent to the HUD. This is strictly prohibited under federal law. Before signing the lease, cross out any empty spaces on all pages to avoid modification. Sign all pages and make copies of the final documents for your reference and protection.

Before giving security deposits, it will not hurt if you haggle more for the price and have reductions on these deposits. Note that deposits are refundable and can only be taken by landlords in the advent of default payments or damages to the property. Before closing the deal with these homes for rent, document the condition of the rental unit before you move. Take pictures and written statements and have these signed by the landlord.

In any case, people looking for homes for rent in several states can benefit from the experience by following these practical tips to make their stay comfortable and stress-free.

Preliminary Steps

Research is the key in looking for homes for rent. A good neighborhood where you want to live in is the most practical consideration, particularly its proximity to schools and town amenities. Use the internet in your research and explore the whole rental market. Invest time in looking over prospected location and bring a checklist with you to guide you in your selection process among homes for rent.

The Rental Fee

Knowing the agent’s fee upfront can save you in the long run. You can avoid firms that charge exorbitant amounts and look for groups and even non-profits that would cost you much less. Learn to haggle for rental prices with landlords. Offer rates lower that what was initially offered. Landlords who want to get the homes for rent occupied as soon as possible would usually give in. If you need a flatmate, choose someone you could easily get to live with, and make sure everything regarding bills and rent are laid out before moving in.

Moving In

Check all items in the apartment before moving in. Note their conditions and if there are problems or need maintenance, inform your landlord and agent immediately for amendments before moving in. Another thing that would make your stay comfortable and stress-free is to maintain good relationships with your landlord, and the best way to achieve this is to pay your rents on time.