November is usually the time of year that you will see a dip in rent prices and occupancy levels, but not in 2021, according to the latest data from RealPage…(RP)
- Occupancy levels hit an all-time high of 97.5% in November.
- This is 2.5 percentage points higher than 95% base line that has been the standard for the last three decades.
Rent appreciation is continuing to slow, but is still double-digit year-over-year…
- Rent prices grew 0.4% in November which is down from the 0.6% in October and the 2.2% high we saw in July.
- Despite the slowdown rent prices are till 13.9% higher than the same time one year ago.
West Palm Beach saw the biggest jump year-over-year with 28% growth in November followed by Tampa and Phoenix up 26%.
Greg Willett, chief economist at RealPage, explains why the type of rental units being in demand could be having an oversized impact on prices…
- “The demand from renters is really strong, especially for the luxury product. As the economy has recovered we’ve done a better job in high- paying employment than we have in the lower paying jobs,”