AUSTIN, Texas — Rent prices continue to rise in Austin and across the nation, according to a new report.
According to CoreLogic, a property information analytics and data agency, Austin landed in the top five in the single-family rent market with highest year-over-year rent growth at 15%.
Meanwhile, single-family rent growth throughout the U.S. increased just over 10% year-over-year in September, marking the fastest year-over-year increase in more than 16 years, according to the CoreLogic Single-Family Rent Index. Miami had the highest annual rent growth, with a 25% jump. Phoenix and Las Vegas were also ahead of Austin, with 20% and 16% growth, respectively.
The spike in rent prices for single-family rentals is due to a few factors, including strong job and income growth, competition in for-sale housing and low availability, per the report. Single-family rental vacancy rates remained around 25-year lows in the third quarter of 2021, raising rent prices.
Single-family detached properties, meaning a free-standing residential building, are preferred by potential homebuyers, which has also driven prices up in the past year. Rent growth for detached rentals was just over 12% in September, compared to just about 8% for attached rentals, according to the report.
The jump in rent prices is also joined by a spike in home prices around the nation and the Austin area, with Texas Realtors reporting a 33% jump in Austin home prices from around this time last year. The quarterly housing report indicated the median price of a home in the area is up to $465,000 this year – the highest median price in the state.
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