Have you noticed rents going up? Seriously! They are raising the price?
When the rent goes up, a tenant might immediately think the landlord is being greedy, but it’s usually far more complicated, and often out of the landlord’s control. You might wonder how that could be true.
Sherman and Denison have become increasingly popular. As Dallas and McKinney grow, people are looking for more affordable places to live, and they are finding Grayson County. This new demand for houses in that area drives property values up, which also increases property taxes. Sometimes those property taxes can go up by hundreds or even thousands of dollars per year.
Property taxes can also increase by vote of city residents. The new revenue can be used for new schools, new roads, or other improvements. Tenants often think that the property taxes do not affect them, so they will vote for them. But be careful what you vote for.
To cover those higher property taxes, landlords have almost no choice but to raise rents. If they don’t raise rent, they will lose money! So the next time your landlord tells you that the rent is going up, it’s probably not just a person lining his/her pockets.