SALES, RENTALS & LAYAWAYS

PROTECTING EVERYTHING THAT HAS EVER BEEN OF VALUE TO YOU

Open 24/7/365

We Have A Life-Time Warranty /
Guarantee On All Products. (Includes Parts And Labor)

Apartment Demand Hits Five-Year High As Home Sales Decline (#GotBitcoin?)

Demand grew particularly in Chicago and Houston. Apartment Demand Hits Five-Year High As Home Sales Decline (#GotBitcoin?)

Demand for rental apartments reached a five-year high this spring, spurred by new household formation and lagging home sales.

The number of new apartment move-ins in the second quarter of 2019 increased 11% over the same period last year, according to a national report scheduled to be released Monday by real-estate analytics firm RealPage . The demand surge drove the national occupancy rate to 95.8%, compared with 95.4% at the end of the second quarter of 2018, the report said.

RealPage’s chief economist Greg Willett attributed the increase in the second quarter partly to economic uncertainty that slowed the market in the first quarter. “This is catch-up,” he said.

Demand grew particularly in Chicago and Houston. Move-ins in those markets outpaced apartment construction by nearly 3 to 1, RealPage data showed.

Monthly rental prices nationwide shot up 3% from the second quarter of 2018 to the same period this year. Many small metros saw bigger increases. Rents rose 7.4% in Wilmington, N.C., and 6.4% in Huntsville, Ala., according to the report.

Although apartment construction is near the highest it has been in 30 years, much of that new supply is targeting higher-income earners, Mr. Willett said.

With little new affordable supply, the market for lower-cost rentals is much tighter. Most of the new supply “doesn’t really help the consumer in [lower-end] housing where it’s already full,” said Mr. Willett.

The volume of existing-home sales on an annualized basis has fallen for 15 straight months. But the asking price of homes is still increasing at a rate that is faster than income growth.

The shallowing buyer pool and the lack of affordable homes has helped fuel the demand for rentals, said Calvin Schnure, economic analyst at the National Association of Real Estate Investment Trusts. “There’s a shortage of every type of housing,” he said, noting construction hasn’t kept pace with population growth.

Last week, the Trump administration announced it would explore using federal programs to reduce local barriers to housing construction, such as restrictive zoning. Freddie Mac also released a survey showing that American renters increasingly believe they will never afford to buy their own home. Apartment Demand Hits Five-Year,Apartment Demand Hits Five-Year,

 

Related Articles:

Uber Drivers Seek Extra Cash Working For House Flippers (#GotBitcoin?)

What’s Rent To Own & How Does It Work? A Guide To Renting Vs Buying

San Francisco’s Housing Market Braces For An IPO Millionaire Wave (#GotBitcoin?)

Affordable Housing Crisis Spreads Throughout World (#GotBitcoin?) (#GotBitcoin?)

Home Prices Continue To Lose Momentum (#GotBitcoin?)

U.S. Existing-Home Sales Declined In March Marking 13 Straight Months Of Annual Declines.(#GotBitcoin?)

Freddie Mac Joins Rental-Home Boom (#GotBitcoin?)

Retreat of Smaller Lenders Adds to Pressure on Housing (#GotBitcoin?)

OK, Computer: How Much Is My House Worth? (#GotBitcoin?)

Borrowers Are Tapping Their Homes for Cash, Even As Rates Rise (#GotBitcoin?)

‘I Can Be the Bank’: Individual Investors Buy Busted Mortgages (#GotBitcoin?)

Why The Home May Be The Assisted-Living Facility of The Future (#GotBitcoin?)

Our Facebook Page

Your Questions And Comments Are Greatly Appreciated.

Monty H. & Carolyn A.

Go back

Leave a Reply