RENTAL MARKET
2022 REAL ESTATE EDITION
No relief in rental rate for Austin BY SUMAIYA MALIK
While the occupancy rate has not uctuated too much, monthly rent prices in the Greater Austin area have been on the rise for the past ve years.
The highest increase was in Class A going up by about $500 a month with modern, top-of-the-line construction and amenities less than 10 years old. Zach Shoaib, a software developer at General Motors, and his roommate felt the sharp increase in rent when they started looking to move from West Campus by The University of Texas at Austin, where they paid $1,700 a month for a two-bed, two-bath apartment to Northwest Austin, to be closer to Apple and GM. “The Domain was a lot more expensive in the $2,100-$2,300 range,” Shoaib said. They found a Class A two-bed, two-bath apartment on Parmer Lane close to Apple for $1,900, which they thought was a great compromise. “If you’re exible on location and you’re open to the northwestern suburbs or even Cedar Park or slightly outside of Austin city limits, you’ll denitely have more options that will be a little bit less of a sticker shock,” Conrado said.
Rent prices have been continuously increasing since the beginning of 2021 with little change in occupancy rates, which have only dropped by about 1 percent. According to Courtney Conrado, a Realtor with Apartment Hunters, there is a shortage in inventory. “There’s a lot of new apartments being built, but they can’t be built fast enough for how many people are moving to Austin,” Conrado said. The average price for a one-bed- room apartment in Austin is more than $1,500 for the smallest oor plan, around 600 square feet or less, Conrado said. In Greater Austin, the price esca- lation began in March 2021 and has gradually increased through May 2022. The occupancy rate also followed that same trend. Apartments across all classes saw rent increases of $400-$500 per month, according to multiple submar- ket reports on Apartmentdata.com.
$2,000
$1,648
$1,750
$1,315
$1,302
$1,250
$1,250 $1,500
$1,183
$1,000
$0
MAR. 2018
MAR. 2022 MAR. 2021 MAR. 2020 MAR. 2019
100%
91.8%
96% 92% 88% 84% 80%
89.9% 90.8% 90.1%
88.9%
0%
SOURCE: APARTMENTDATA.COMCOMMUNITY IMPACT NEWSPAPER
Design starts from the floor up
3827 PROMONTORY POINT DR, AUSTIN, TX txflooringpros.com
SHOWROOM
LOCALLY OWNED AND OPERATED
23
SOUTHWEST AUSTIN DRIPPING SPRINGS EDITION • JULY 2022
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