New Report Shows Vacancies Continue Their Climb as Rents Fall
In January, I wrote about how the economic slump was bringing down average apartment rents in the United States, along with a slight increase in the vacancy rate, which was good news for renters.
A new report from real estate research firm Reis Inc. shows a continuation of this trend. According to yesterday's report, the national vacancy rate rose to a near-record 7.5%, a 1.4% climb over last year's figure. Plus, effective rent (which includes concessions) fell nearly 2% from last year.
Not surprisingly, many landlords are reportedly boosting concessions to maintain occupancy, according to Reuters.
Are you finding your apartment search to be easier than you had expected because you're encountering many vacancies? If you already live in an apartment, have you been able to negotiate any rental concessions with your landlord, such as enjoying a free month's rent in return for renewing your lease?
Comments
Hey Ron,
We saw that article, too. Compiled some apartment data from news sources last week.
Especially interesting was a an article last week that showed urban growth outpacing suburban growth.
Do you think it is possible to save money by moving INTO the city?
Apartment Rental Vacancies Rise Across the Nation
This certainly echoes what we’re seeing in the central Texas market. Despite Austin being rated among the most “recession-proof” cities in the nation, management companies are still struggling to fill vacancies. It’s not uncommon for renter’s to be offered hundreds of dollars off their first month’s rent, a month free, free moving or other concessions. It’s a trend we fully expect to continue into 2010.
As rentals in some urban areas become a little more affordable, hopefully it means apartment hunters with limited means who prefer city living can get what they want.