Rental Statistics Report Released Shows Rent, Vacancy, and Saturation Rates All on the Rise
Metro Detroit real estate investors can breathe a sigh of relief as recent rental statistics report shows rent, vacancy, and saturation rates are all on the rise. This report of detailed market data provides unprecedented opportunities for investors as they make decisions regarding their Metro Detroit rental properties.
“Rental rates are up throughout the country, and we expect that trend to continue in the near future,” said Lukas Krause, Chief Executive Officer of Property Management Business Solutions. “There are a lot of economic indicators supporting that viewpoint, not the least of which is America’s continual shift toward renting.”
The report that was released shows a 5.4% increase of average monthly rates for the first quarter in 2015 from the same time period in 2014. All ten of the US rental regions have experienced an uptick in year over year rental rate hikes, with the Pacific and Northeast regions experiencing the highest gains, and Metro Detroit gaining the slowest.
Vacancy rates through the end of the first quarter were also studied showing the average national vacancy rate rising slightly from the previous year. Michigan still has the lowest vacancy rate of 3.6% compared to a 5.7% national average.
Analyzing the nation’s saturation rate–the percentage of single family homes that are rented as a share of all single family homes–found 23.4% of all single family homes nationwide are used as rental properties.
Metro Detroit real estate investors should view this as good news as the demand for rentals increases, the rental rates also increase which improves their overall cash flow. With Michigan having such a low vacancy rate, reduced vacancy times experienced at rental properties will also increase investors’ bottom line.
Real Property Management Metro Detroit is the leading company for property management services in the area. With over 25 years of experience in the industry, they provide investors with accurate and up-to-date information about market trends and resources available. For more information on their company, visit https://www.metrodetroitrpm.com/