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Apartment Living News

Apartment Rents Continue to Rise in the Houston Area
Digested From "Rents Continue to Rise in the Houston Area"
Houston Chronicle (09/10/12) by Nancy Sarnoff

Apartment rents in the Houston metropolitan area have risen to an all-time high, and residents are facing steep increases as demand for multifamily housing shows no signs of slowing. Josh Landry, development director of Gables Residential, states, "We're seeing strong rent growth. It's been better than we'd probably expected. Landry's Atlanta-based firm owns more than 1,900 rental units in Houston. He notes that several factors are contributing to the tightening market locally. Though new construction is under way, few new apartments have been added to the metro area in recent years. Furthermore, many locals are still having a tough time qualifying for a home mortgage. Others have stopped considering the idea altogether. That means apartment owners and managers "have an upper hand because so many things are in their favor," said Apartment Data Services President Bruce McClenny. In the last year, apartment rents throughout the area have increased 5.3 percent to an average of $785 a month. The high-end market is particularly strong, with rents in upscale communities having grown 9.4 percent over the last year as the occupancy rate has risen to 95 percent.
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