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I own a place that I rent out. I am having a hard time figuring out how people are charging $3,000 plus a month. I don’t charge anywhere near that. The only time I raise my rent is when the city increases the cost of their taxes/fees, or if insurance for some reason goes up. Is it actually that expensive for property taxes and other things there or is just greed?
Greed plus high demand and low supply.
I would say it's fair to raise it for increased maintenance costs as well. Most of us aren't mad that we have to pay for housing. We're mad we're so obviously getting taken for a ride by companies operating illegally to control prices.
It's been a few decades since I've rented, and my previous landlord was very transparent with providing information about increased taxes and utilities to explain why rent was increasing. He knew that if he just increased it for the lolz, I'd happily just find another place to rent.
With the market being the way it is, the shortage has provided the leverage crooked people can use against renters.
I do wonder how many landlords are crooked, and how many are being forced to drive up rent due to the rise of excessive tax hikes, insurance premiums, utilities, maintenance and labor costs, etc. I know personally, my home's property taxes have more than tripled in the past 5 years. I'm now priced out of my neighborhood.
Lol the tool who downvoted you after reading your first sentence but couldn't be bothered to read the rest...
But yes the answer is absolutely greed. And the naivety that "oh look this place over here rented for $500 more I guess I can charge $500 more too..." + "Why would I lose out on $6000/yr?!" + "If I still rent out for what I was renting it out for some losers will just move in." + "This is how an investment works! I get more money because time and not because I actually improved the home to justify $500 more." ... The list goes on ...