Apartments Experience Summer Boom

Posted on September 15, 2021

Living Room and Dining AreaThe apartment market posted torrid growth in 2021, according to a number of industry sources.

Apartment List says prices increased more than 11% in the first half of 2021. That growth is double the size of inflation and triple the typical rent growth usually measured by the company. In addition, 87 of the nation’s largest 100 cities have fully rebounded to pre-pandemic prices. In some places, rents have jumped more than 30% since March 2020.

Things took off even more over the summer.

In June, Realtor.com data shows that rents jumped 8.1% year-over-year to $1,575 in the nation’s 50 largest metros. Median rents have risen 10.4%, or $149, compared to June 2019. Usually, rents fluctuate less than 1% from month to month. In May and June, they increased by 3.0% and 3.2% from each month to the next. And, in 44 of the 50 largest markets, rents were the highest they’ve ever been.

In July, things got even better. The apartment market posted one of its best months in a long time that month as rents grew at an 8.3% level and occupancies hit 96.9%, according to RealPage. Over the summer, the market grew so tight that RealPage says there were less than 500 vacant units for rent in 14 of the nation’s core 150 apartment markets.

While we’re still awaiting the full release of August, and eventually third quarter, numbers, it’s safe to say that it will be tough to match the apartment market’s summer 2021 performance in future years. But the signs still point to a bright future.

More CGI+ News & Press

The Journal November 2022

The Journal November 2022

Commercial real estate developments have been in a steady upswing in 2022, however, several things stand to threaten the industry’s acceleration. We brought our best minds together to form a think tank to discuss how current events like the FED rate hike, supply/demand issues, the War on Ukraine will affect market conditions in Q4 and beyond. Click below to download the CGI+ Journal.

read more
CGI + Market Conditions Report

CGI + Market Conditions Report

Commercial real estate developments have been in a steady upswing in recent years, however, several things stand to threaten the industry’s acceleration.

In our weekly team meetings, we discuss important current events and how they affect all parts of the project life – due diligence, acquisition, planning and development, stabilization, and management or disposition.

Here are some of the world’s most pressing topics in Q4 2022 and how they’re shaping our industry and our portfolio.

read more