“While the existing inventory has been very full in most locations for several years, metros that were economic recovery laggards are now realizing strong apartment demand,” Willett says. “Thus, the occupancy numbers are improving rapidly in spots like Atlanta, Jacksonville, Sacramento and Riverside. Even Las Vegas, which has one of the biggest holes in performance to fill anywhere across the country, is moving notably in the right direction.”

Demand for apartments more than doubled the completion volume; with 129,162 units being absorbed while 55,561 units entered the market.

“Units at brand new properties are being leased about as quickly as they can be delivered in most cases. Thus, new supply in lease-up isn't dampening overall occupancy to the degree that is typical,” Willett says. “If there's a surprise in recent results, it's that significant rent growth is also being generated at the very top of the apartment product spectrum. Even in projects finished just a year or so ago, higher rents are being realized when leases turn over, despite the fact that there's competition from additional brand new developments just entering the market.”

RealPage Inc. is located in Carrollton, TX. The company provides property management software solutions for the multifamily, commercial, single-family and vacation rental housing markets.