Triangle rental market hotter than Atlanta, study says. Why that’s bad news for renters.
The Triangle’s rental market may not be as hot as Miami’s, but it’s still the most competitive market for renters in the Southeast, according to a new study by RentCafe.
Outpacing metros like Charlotte, Atlanta and Washington, D.C., it ranked No. 27 out of 137 large markets analyzed, earning a rating of 72. That’s a significant jump from the national average of 60.
Amid soaring demand and low housing inventory, apartments get snatched up in 40 days in the Triangle, the report found, with an estimated nine would-be renters competing for each vacant unit.
However, the Triangle’s 0.95% increase in new apartments is among the highest in the country, “making the metro moderately competitive in contrast to red-hot markets like Miami or North Jersey,” it said.
RentCafe.com’s research team analyzed Yardi Systems apartment data, ranking markets across five metrics: apartment occupancy rate, average total days vacant, prospective renters per vacant unit, renewal lease rate, and share of new apartments completed during the same time frame. The score is based on market averages for January through March 2023.
The Triangle’s occupancy rate is 94%, which is in line with the national landscape.
Triangle housing market affects rental market
As North Carolina remains one of the fastest-growing states, rising home prices and higher mortgage rates are keeping many would-be homebuyers in the rental market, say experts.
Despite a national trend showing rents cooling in major markets, rents remain high across the Triangle.
▪ In Raleigh, the median rent stands at $1,318 for a one-bedroom apartment and $1,499 for a two-bedroom in June, according to Apartment List. Across all bedroom sizes, the median rent is $1,502.
▪ In Durham, the median rent currently stands at $1,215 for a one-bedroom apartment and $1,460 for a two-bedroom. Across all bedroom sizes, the median rent is $1,428.
Raleigh and Durham rank No. 42 and No. 53, respectively, for median rents among the country’s 100 largest cities, according to Apartment List.
This story was originally published July 13, 2023 at 2:25 PM.
