This week’s review of multifamily news focuses on how COVID-19 is affecting rent pricing. This information can give industry professionals insights into how owners and operators are managing businesses in today’s environment. First, Zumper reports on the 10 cities with the largest price declines from March 15 (the onset of stay-at-home restrictions) to June 15. Next, RealPage discusses how operators were quick to cut rents in mid-March but toward the end of June rents began to inch up, due to a surge in leasing volumes. However, in a separate article, RealPage also shows Los Angeles experiencing steep pricing declines. Arbor’s Chatter blog provides a Chandan Economics report that looks at how multifamily renters have benefitted from federal assistance responding to the pandemic. Finally, an Assurant study reveals renters’ concerns and their growing interest in less crowded communities.
Top 10 U.S. Cities with Pandemic Pricing
Zumper – June 24
“Overall, southern cities were the most recurrent with three Texas cities, New Orleans, and Nashville on this list. On the West Coast, two pricey California cities experienced pandemic pricing with San Jose and San Francisco one-bedroom rents down 8.1% and 5.3%, respectively.”
As Apartment Demand Rebounds, Rent Cuts Disappear in Most Markets
RealPage – June 23
“In the week-ending June 20, executed rents for new leases inched up 0.08% compared to the same time last year. While this growth is miniscule, it’s a sharp departure from three months of steady rent declines.”
LA Apartment Operators Turn to Rent Cuts
RealPage – June 17
“After registering rent growth above the national norm for much of the past five years, Los Angeles is now recording some of the steepest price declines in the county.”
How Federal COVID-19 Relief Affects Small Multifamily Renters
Arbor Chatter – June 15
“As an initial response to the pandemic, the federal government introduced several policies and programs to help individuals, families and businesses. This report looks specifically at what the individual assistance component of the pandemic response means for different renter segments.”
Renters Seeking Cost Reduction Options, Rent Relief and Lower Density
Assurant – June 10
“Over one-third (38%) of renters reported they will need rent relief help during the next ninety days and 42% are unsure about their rental stability going forward.”
