All about Supply and Demand

Last month I searched for apartments with one-bed rooms or studios in Raleigh and north Cary. Most one-bed rooms were not available, especial those with reasonable rent rates. Those that were vacant have steep rates. The leasing companies didn't need to worry about that since lots of perspective customers would come to Raleigh soon. Raleigh is growing so the housing cost increases year by year. 

But I think what drives the rent in Raleigh so much are the increasing students at NC State. The university gives too many admission to students not as qualified as those five years ago when I came here. Some companies had predicted that and built new apartments to welcome thousands of students. There is a new big apartment next to the parking deck just completed on August 1st. Each unit in it is furnished with a sofa, HDTV, Table and more. The rooms inside are so small that only a bed and a desk can be squeezed into. No space for a bookshelf. I don't understand is the luxurious room for students or tourists. The rightward shift of housing supply to the, however, cannot catch up the rightward shift of demand. The result is what we see now, the price goes up.

The monthly rent for the two-bedrooms townhouse I used to be staying at was $841 two years ago; it was $925 last year; this year it is $1044. This most ridiculous case I saw was a 500 square feet studio available in early August charge $647! Utilities and the renter insurance are not included. Its rent will decline to $585 after the semester begins, but it is still not reasonable. They always know when people need houses. The rates change in seasons. The bigger the company, the more flexible its rates are.

I was retired of looking for the off campus apartments. Occasionally, I considered returning to on-campus apartments for graduate students. The university housing provides fixed rate and safe environment. Then I found it sucks, too. It charges for the internet connection that included in the rent before; residents are not allowed to purchase on-campus parking permits; its rate per square feet is higher than off-campus apartments; no swimming pool and fitness centers. I didn’t want to be fooled like an incoming international student.

I was lucky to find a one bedroom in an apartment near the campus. The environment is just acceptable given its reasonable rent. It costs $615 for a 700 square feet room and utilities. What makes uneasy so far is it doesn't choose its residents. The previous apartment I stayed at asked for financial statements and list hundreds of pages of rules to screen out perspective troublemakers. This one even didn't check my I-20 and passport. Therefore, residents here are mixed. Some are students; some look retired; a lot of them have dark skin. The apartment becomes what it wants to become to.

From the patio in my room I can see a shopping center and the university.

This is really a mess hall.

I learned a lot from the housing experience in the US. Last thought: I have to work hard to have a house in a better community in the future. I cannot stand to be in neighborhood where residents like to share loud music at night or where residents are rude and seedy.