Rental Home Rates on the Rise
Rental Home Rates on the Rise:
Rental Market Leaders Team Up to Release “Rental Statistics Report” on Rental, Vacancy and Saturation Rates
Real Property Management, the nation’s leading property management organization, and RentRange, the nation’s leading provider of Rental Market Intelligence™, together release “Rental Housing Statistics” that shows national rental home rates are rising.
Through the first quarter 2015, the companies reveal that the average monthly rent for single-family homes was $1,286, representing a 5.4 percent year-over-year increase. The rental market data was limited to three-bedroom single-family homes in the U.S. Rental rates were up in all 10 regions analyzed in the report. The Pacific and Northeast regions saw the largest upturns with 13 percent and 10.9 percent year-over-year increases, respectively. On the other end of the spectrum, the Mid-Atlantic and South-Atlantic regions had the lowest gains at 1.6 percent and 2.6 percent year-over-year increases, respectively. Rental Rates and Year-over-Year Increases of 10 U.S. Regions through the First Quarter 2015
|REGION||Median 3 BR rent ($)||Y-o-Y Change in 3BR rent|
“Rental rates are up throughout the country and we expect that trend to continue in the near future,” said Don Lawby, President of Property Management Business Solutions, the franchisor of Real Property Management. “There are a lot of economic indicators supporting that viewpoint, not the least of which is America’s continual shift toward renting.” The “Rental Housing Statistics” also examined vacancy rates, the percentage of homes considered unoccupied, through the end of the first quarter. The national rate rose slightly to 5.7 percent, up .09 percent year-over-year. The Midwest region had the highest vacancy rate at 7.2 percent whereas Texas had the lowest at 3.6 percent. Lastly, the report analyzed the saturation rate across the country. This is the estimated percentage of rented single-family homes as a share of all single-family homes. Nationwide, 23.4 percent of single-family homes are rented, according to the data. “Higher rents and the availability of detailed rental market data create unprecedented opportunities for investors to make good decisions,” said Wally Charnoff, CEO of RentRange. “Along with professional property management, such information reduces the risk of investing in a broader range of geographic areas.”
As leaders in the rental housing industry, Real Property Management and RentRange have an ongoing strategic business relationship. Real Property Management relies on RentRange’s proprietary rental housing data to provide its landlord customers with accurate, current information about local rental properties and rental markets.