No Slowdown in Multifamily Market Momentum
A rent growth spurt in June 2019 helped the U.S. multifamily market post a solid 2.6% average rent increase for the first half of the year.
Average rents jumped $12 in June to $1,465, a 3.3% year-over-year increase from May. A new report from Yardi® Matrix attributes much of the sector’s strength to steady job creation and a record number of renter households.
“The multifamily market’s extended run of strong performance does not appear to be winding down soon,” the report says, noting that the second quarter (2%) and year-to-date increases both came “close to the best performance seen in this extremely favorable economic cycle.”
Fast-growing markets in the South and West dominate the rent growth rankings. The year-over-year leaders in June were Las Vegas; Phoenix; Sacramento, Calif.; Austin, Texas; and Atlanta.