Apartment rents climbed during Q1 2010, ending five consecutive quarters of declines, according to research firm Reis. Nationwide, the vacancy rate remains flat at approximately 8 percent—its highest level since Reis began its tally in 1980.
Rents rose in 60 of the 79 U.S. markets that Reis monitors, including Miami, Seattle and New York—all three of which recorded significant rental declines in the past year. In fact, Q1 rents rose 1.6 percent in Miami and 0.9 percent in New York. Researchers note that the gains came during what is usually a seasonally weak period for rental housing, suggesting that apartment owners may have some momentum heading into the peak spring and summer leasing seasons.
Reis Director of Research Victor Calanog states: “Deterioration seems not to have just been arrested but reversed. Several markets have bottomed and may be on track to recovery.”
Source: Wall Street Journal, NAA’s Industry Insider