Rents fell $9 in February according to Yardi Matrix, a figure that included cities that have historically been tight markets such as San Francisco, Houston and Boston. The recent boom in construction is also having a cooling effect and producing volatility in these major cities, causing the average rate to slip to $1,16 per month.
However, rents are rising elsewhere. Rents in Tampa may have increased 5.7 percent in February (the 10th largest increase nationally). Nationwide, Stockton and Sacramento, Calif., had the highest increases for the time period with increases of 12.3 and 10.7 percent, respectively. Colorado Springs, Colo. came in third 9.5 percent when compared to the national average increase of 4.3 percent. “Much of the recent growth in secondary markets is the result of a combination of economic and supply factors”, said Yardi Matrix senior analyst Doug Ressler in a news release. “While demand for apartment living is robust, many of these markets lack adequate supply and rents are rising accordingly.”
