National Market Performance Shows Moderate Gains in Early 2016
Digested from Apartment Market Performance: Rent Growth Down, Occupancy Up
Axiometrics (3/10/16) Clarke, Chris
Annual rent growth in the national apartment market achieved modest gains early this year. In February, growth reached 4.1 percent, marking the 19th consecutive month that effective rent growth was at or above 4 percent.
This is the second-highest percentage February has seen since 2011. However, its also a substantial dip about 101 basis points lower than February 2015s growth rate of 5.1 percent.
National occupancy rates in February 2016 reached 94.7 percent, a slight uptick from January, and the first month-to-month increase since August 2015. National year-to-date effective rent growth was just 0.7 percent, lower than the five-year average of 0.9 percent.
Looking at annual effective rent growth among Axiometrics top 50 apartment markets in February, Portland, Oregon, claimed the top spot, switching places with Oakland, California, which came in sixth. A year ago, the two metros were in opposite positions.
February is not known to be the most reliable barometer for measuring full-year effective rent growth. Its too early to tell how 2016s apartment market will shape up.