Having lived in San Francisco it is my belief that
rents are high there because there is such a high
demand. The geography there is spectacular and the
city is very alluring, urban, exciting,
well-climatized, and fun. Did I say gorgeous.  The
rents were high because the landlords could get that
amount. 

It isn't just rents in SF that are expensive.
Everything is. Houses are out of the ballpark in
price. Parking is very expensive. In 1987 I paid $8
for 20 minutes in a parking ramp. I had to have a
permit to park on the street in front of my house and
I even witnessed physical altercations over street
parking spots.  I paid $90 for electric in a 2 bedroom
apartment. Car insurance was out of this world. They
wanted $3,500 a year for two medium priced cars, no
tickets, no accidents.

I am a bit puzzled by what is happening here in
Minneapolis. How did we go from 1-2% vacancy rates a
couple years ago to between 20-30% vacancy rates now? 
Did we really build that many more units? Are rents so
unaffordable that people are doubling or tripling up?
Did a bunch of people move out of the city? Exactly
what happened?. 

I have heard people say that apartments operated by
private landlords are more expensive than those
operated by the so-called "non-profit affordable
housing" industry folks. In all the information I have
collected that is not true. In fact, many private
landlords are charging less money to rent an apartment
than the non-profits who are calling their buildings
affordable. 

If you look, the non-profit buildings have just as
many vacancies right now as the private landlords do.
So it appears that whatever is going on is industry
wide.

One could say that rents would go down in a market
where there is so little demand.  I don't see that
happening.  Rents used to be a lot less just five
years ago.  What expenses went up during that time to
affect rent prices so much? Heat? Water? Taxes? Please
advise.

I would be interested in an honest discussion about
the true vacancy rate, average rent prices, costs of
providing rental units etc. and the things
contributing to the problems of high vacancy rates and
rent prices.

Barb Lickness
Whittier
 



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