JCHS: Rental Market Likely Headed for a Slowdown
Tuesday, April 14, 2020 | Whitney Airgood-Obrycki
While it is too early to know how COVID-19 will affect rental markets, early signs suggest another slowdown in demand is coming. Already, leasing activity is down at a time when new apartment completions are nearing a 30-year high. Cooling demand could soften rents at the high end of the market, but those benefits are unlikely to translate to lower rents at the bottom end as households compete for an already limited low-rent supply.
To begin with, a COVID-19 recession is likely to cool already slowing demand. Renter household growth boomed from 2004 to 2016, posting average annual increases of 846,000 households.
To read the complete article, visit the Joint Center for Housing Studies
Courtesy of the Joint Center for Housing Studies
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