SANTA BARBARA, CA — A $2 rise in average U.S. rents in February 2019 and year-over-year growth of 3.6%, the highest since late 2016, point to the multifamily industry’s continuing strength, according to a new report from Yardi® Matrix.
A February survey of 127 major U.S. real estate markets shows that demand, bolstered by a job market with low unemployment and accelerating wage growth, shows no signs of slowing. Demand is most pronounced in metros with strong population gains and healthy job growth. Rents averaged $1,426 for the month.
The latest numbers “are evidence that the market has strength to perform well for a while, even if the economy or other commercial real estate segments slow down,” the report says. “Occupancy rates have ticked down slightly, but absorption has been no problem.”
February’s year-over-year rent growth leaders were Phoenix, Las Vegas, Sacramento, Calif., Atlanta and California’s Inland Empire.
View the full Yardi Matrix multifamily national report for February 2019 for additional detail and insight into 127 major markets.
Yardi Matrix offers the industry’s most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate. Yardi Matrix covers multifamily, industrial, office and self storage property types.
