Taking a quick look at employment statistics shows that the correlation coefficient between employment and
apartment occupancy growth is 55 percent, but the coefficient between employment growth and rent growth is 70 percent.
Not exact matches
But strong rent
growth and relatively healthy
occupancy rates in the
apartment sector continue to attract investors, who are then frustrated by the relatively small number and high asking prices of
apartment properties available for sale.
MPF Research reports that the U.S.
apartment sector continues to post strong fundamentals even as new supply levels ramp up — with
occupancy registering around 95 % and annual rent
growth around 3 % for the seventh consecutive quarter.
Apartment occupancy rates and rent
growth levels ticked up in 3rd quarter 2013 in the nation's core 100 metros — keeping the industry in strong shape in advance of the oncoming pickup in supply.
Robust rent
growth has accompanied tight
occupancy for eight straight quarters, even as the pace of
apartment completions has remained read more
Houston's operable
apartment stock essentially full in September Post-Hurricane Harvey, Houston's
occupancy and rent
growth levels have increased.
U.S.
apartment market sees moderate rent
growth, healthy
occupancy in 3Q Moderate
growth in U.S.
apartment rents registered again in 3rd quarter 2017, as the market remained essentially full.
Among the U.S.
apartment quality spectrum, Class A product has been the usual leader for
occupancy rates and rent
growth.
«You don't want to confuse rent
growth,
occupancy or architectural attractiveness with the top markets for investments,» warns Jeffrey Friedman, chairman, president and CEO of Associated Estates Realty Corp., a Richmond Heights, Ohio — based
apartment REIT with a portfolio of 52 properties containing 13,950 units in 10 states.
Recent data from Axiometrics Inc. shows the
apartment markets with the highest rental rate
growth and
occupancy also are the areas that have generated above - average employment
growth.
According to Ronald Johnsey, president of Dallas - based Axiometrics, it's no coincidence that the top - performing
apartment markets (from an
occupancy and rental rate
growth perspective) are also the places that are home to a highly educated population.
With the glut confined to luxury
apartments, however, the report documents overall «robust
apartment demand and
occupancy» despite a slowdown in the pace of rent
growth.
The U.S.
apartment market's performance stumbled during the first quarter of 2018, as
occupancy backtracked and rent
growth continued to flatten.