According to RENTCafe’,
At the start of 2021, following one of the most disruptive periods of our times, the most in demand locations for renters were certainly not the ones you would expect and El Paso is among the top locations nationally.
According to RENTCafé, five of the nation’s largest renter hubs are also among the 30 hottest apartment markets, and they’re all from the South and Southwest.
Researchers say that El Paso leads this trend with a 29.5 competitive score, ranking as the 16th hottest rental market in the nation.
“More Americans are getting vaccinated, employment is up and hybrid work models are rising, showing growth for the multifamily and commercial real estate industry. The current climate increasingly points to the economy growing in 2021, providing significant and risk-averse potential for the apartment market,” Doug Ressler, manager of business intelligence at Yardi Matrix said.
According to the report, El Paso is among the top competitive markets due to:
- Strong upward rent trend in the area, as apartment prices rose consistently in the first quarter.
- 96% of apartments in the area are occupied, and they stay vacant for an average of 34 days.
- At the same time, El Paso has an above-average number of prospective renters per apartment – 13 renters are competing for one apartment at the same time here.
- For comparison, the national occupancy rate is 94%, there are 11 prospective renters per apartment, and units stay vacant for an average of 39 days.
When trying to assess the competitiveness of the country’s 125 largest rental markets, RENTCafé researchers at found mid-sized markets like Central Valley, CA, Spokane, WA, and Boise, ID were the most sought-after this past quarter.
“These emerging renter hubs share a similar story, attracting renters from larger metros with a mix of cheaper, slower living and a growing number of opportunities. Coupled with a shift towards remote work, the nation’s mid-sized renter hubs were poised to get a boost in the first quarter of the year,” researchers added.
“The largest markets and surrounding exurbs show renters are distinctly looking to get more square footage or more amenities for the same price, within these hubs and close to them. Residents from large gateway markets are “trading up”, and with work-from-home policies, exurb locations close to these areas are also benefitting from this behaviour.” Ressler added.
The El Paso Rental Market is based on the Yardi Matrix definition available via this link.
The full study by RENTCafe’ – with the complete ranking – is available by clicking here.