From that perspective, I have determined that build-to-rent is brilliant when it comes to meeting the need of a tenant who wants the feel of a single-family home but not the cost, responsibility or maintenance of the exterior of that home.
It is true that the build-to-rent homes are clustered together, creating a more “condo” feeling in the community, but they are not hiding the fact that they are a rental community that offers an alternative to the condos and townhomes we see.
There are a few locations in Peoria’s 85382 and 85383 ZIP codes that have what I call “cluster communities” (single family homes with courtyard type of lots), and the type of build itself has not brought the property values down for the homes on typical size lots nearby. It remains to be seen if this type of rental community with individual homes will impact the home values, but I doubt that will be the case.
The rental rates are high and the communities are kept clean, so while I don’t think it adds value, I don’t believe it will hurt values, either. I am just happy to see that there will be alternatives in housing options.
Do I want to see all my clients own their own home? Yes, I absolutely believe that is most desirable. However, it is not always possible. The build-to-rent home model provides a nice alternative to home ownership when it’s not an option at this time and a nice alternative for those who prefer the flexibility of renting.
Editor’s note: Rebecca Durfey is a Peoria-based Realtor with Keller Williams.
