Rentals on the Rise

Here's an excerpt of an article I read on the paper this morning that might be of interest to investors who are thinking of buying apartment buildings... or SFR.
Valerie

Per the L.A. Times on Sunday 7/17/2011 (Roger Vincent), Developers are investing in apartments as rents increase and homeownership loses its appeal. It states that getting financing is still a challenge for apartment developers today, but apartments are now the favored class of commercial real estate among buyers and builders. 'If you see a building under construction, it's most likely an apartment complex. Next decade is likely to be the most profitable for the industry (real estate developers) in the last 20 years'.
It continue to say that many young people in their 20s and 30s are delaying marriage and children, and prefer to live in apartments which gives them the mobility they need when relocating because of jobs.
"Homeowners who end up losing their homes from foreclosure usually end up renting a single family house".

"The power to raise rents is returning to local landlords because the number of new jobs has increased slightly, elevating demand."
"Homeownership is not dead, it's just in a period of adjustment" says UCLA professor Stuart Gabriel.