Multifamily rents remained flat for three months in a row through October, but on a year-over-year basis, rents fell 0.6 percent, according to a Yardi Matrix survey of 127 markets. The pandemic has proven to shift what markets are performing well, with most people moving to secondary and tertiary markets where the cost of living is lower but still provides access to gateway cities.
When it comes to market performance, the Inland Empire and Sacramento performed the best with an increase of 6.0 percent and 5.0 percent, respectively, in year-over-year rent growth. On the other end, San Jose (-10.3%), New York (-10.0%) and San Francisco (-8.2%) were the slowest performing markets on the list.
Lifestyle assets (-2.0%) trailed Renter-by-Necessity (1.1%) due to the ongoing issue of affordable housing. Short-term rent growth was also flat last month, but some secondary markets witnessed increases month-over-month. However, Orlando, Fla.; Austin; Seattle and Minneapolis all experienced month-over-month declines, in addition to the six gateway markets.
To read the full report, visit the Yardi Matrix website.