Families debate renting or owning houses - Cincinnati News, FOX19-WXIX TV

Families debate renting or owning houses

CINCINNATI, OH (FOX19) -

Even though mortgage rates are low and there are plenty of properties on the market, there are buyers and sellers out there who are stuck in limbo right now, and many are considering renting.

One homeowner we talked with, Julie Von Hertsenberg and her husband Phil, would like to buy a new home.  The problem is, they can't sell the condo they live in now.  It's been on the market since Spring 2009.

The Von Hertsenbergs feel like they can't move on with their lives, or start a family, until they can make a move.

So they looked into renting out their condo and using the money towards payments on a new place.  But lenders said no.

"We would have to be landlords for 2 years before we could take it to a bank and say it was income," Julie told us.

For many, it's a lose-lose situation, and it's playing out all over the tri-state. 

Foreclosures, short sales, and the drop in home sale prices have left many former homeowners without the necessary down payment to move into a new home.  Home rentals are a hot market right now, according to real estate agents we spoke with.

Many people, like the Von Hertsenbergs, wait and hope that a buyer will make a move so they can make a move of their own.

Others simply continue to rent, with the hope that they will one day be able to save up and buy.

One lawyer FOX19 spoke with said that if you are a homeowner and are thinking of renting out your home, it's wise to check with your lender.  Renting may breach the terms of your mortgage.

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