Search
 

Apt. Rent Growth Tapers, Still Bests Long-Term Average

SANTA BARBARA, CA—The current level of rent growth nationally “is on par with our forecast for 3.9% increases in 2017,” according to Yardi Matrix.

By Paul Bubny | paulbubny | Updated on January 04, 2017

Sacramento skyline Sacramento continues to lead the nation in annual apartment rent increases, thanks in part to limited new supply. (Photo by Tom Myers)

SANTA BARBARA, CA—Apartment rents dipped by an average of $4 per month in December, representing the fourth consecutive month of declines, according to data from Yardi Matrix. However, 2016 overall was a strong year for rent growth, and even with the slight decline, rents were still up an average of 4% on a year over year basis as of Dec. 31.

December’s Y-O-Y increase represented a 30-basis-point decline from November and a 270-bp drop from the recent high of 6.7% in October 2015. While some of the drop seen in December can be attributed to normal seasonal factors, “it is clear that rents are in a period of deceleration after growing at high levels for the previous two years,” according to the latest Yardi Matrix monthly report.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2024 ALM Global, LLC. All Rights Reserved.