UNITED STATES (Commercial Property Executive) – Rent prices are showing signs of steadying across the country, while leasing remains strong.
Average apartment rents grew 1.2 percent during the second quarter, compared with the 4.8 percent rise during fourth quarter 2011. Greg Willett, vice president at Carrollton-based MPF Research, believes the loss of momentum is the result of the slowed job market as well as the flood of new apartment properties becoming available soon.
Average apartment occupancies are at 95.2 percent nationally, up from 94.9 percent during the first quarter.
Willett believes that while some areas, such as Washington, D.C., could fall victim to overbuilding of new apartment properties, healthy job growth in Texas will likely mean that the market can support the additional inventory.