The problem with having a President who has never had a job in the real world is that he doesn’t seem to have a firm grasp of economic principles. Printing endless amounts of money and handing it out to whomever his progressive influencers tell him is not what you would call a viable financial strategy.
Inflation is just one of the consequences of a seemingly clueless leader. The prices for almost everything are rising, which means rent prices too. For the first time ever, the median rent price eclipsed $2,000 in June; guess what; it’s not going down anytime soon.
This means many people will be in significant trouble, behind in rent payments, and facing eviction. Right now, 8.5 million people can’t cover their August rent, and almost 4 million renters are admitting to being somewhat or very likely to be evicted before Thanksgiving.
Remember the eviction moratoriums that kept getting extended for the better part of the past two years? They are over, and landlords will want to catch up on what they missed during the pandemic.
It’s becoming a crisis. Rent rates have risen almost 25% since before the pandemic and 15% in the past year.
A story in Yahoo Finance points out how evictions have ballooned this year. Just in August, evictions in Minneapolis St. Paul are a mind-boggling 94% above average. Houston has seen a 90% spike this month, and Tampa has 52% more.
Renters have a median household income of $42,500, much lower than the $67,500 national median. That stat, coupled with rising rent prices, means some people will not be able to afford their house or apartment.
With interest rates rising from 3% last year at this time to 5.13% now, most renters have no shot of purchasing a home. Mortgage applications are at a 22-year low.