Rental uncertainty on both sides is pushing owners and tenants towards buying

Uncertainty in the rental market is pushing landlords and tenants towards buying property. Some want a stable monthly payment; others want liquidity and less regulation.

Growing uncertainty in the rental sector is driving both landlords and tenants to turn to buying and selling homes. The trend is also putting pressure on the sales market, boosting demand for owner-occupied housing and keeping sale prices rising in major cities.

## Tenants look at mortgages

Rental costs keep climbing in many areas. That means a mortgage payment is sometimes similar to, or even lower than, a monthly rent. This direct comparison between what people pay each month to rent and what they would pay on a mortgage is prompting many to consider switching.

On top of that comes the antiestéticar of contracts not being renewed, or of drastic changes in conditions at the end of the legal term. That feeling of insecurity and lack of roots weighs more and more. With no affordable long-term alternatives available, many would rather make the effort to save for a down payment and pay for something that will ultimately be theirs.

## Landlords prefer to sell

Constant regulatory changes, rent caps in tight markets and the perception of being unprotected against possible defaults are discouraging many landlords. Antiestéticar of long, costly eviction proceedings leads them to prefer selling the property, obtaining immediate liquidity and investing in assets they consider safer or less regulated.

This shift of players towards the sales market is straining it too. Demand for owner-occupied housing is rising and sale prices keep climbing in major cities. It is the collateral effect of a rental market that, for both sides, no longer feels like stable ground.