RentCafe just released the highly anticipated Market Competitivity Report, which unveils how easy — or how difficult — it was to find an apartment and how many renters compete for each vacant apartment in peak rental season in 139 U.S. markets. The report is based on 5 relevant metrics: number of prospective renters per vacant unit, number of vacant days for an apartment, occupancy and lease renewal rates, share of new apartments.
Despite an influx of new apartments and below-average occupancy and renewal rates (which offer more options to choose from), apartment-seekers still faced a tough competition to secure a place to stay in Phoenix in peak rental season.
Here’s an overview of Phoenix’s competitiveness and a look at how many renters compete for each apartment:
- This summer, 10 prospective renters applied for each vacant unit in Phoenix, down from 13 applicants one year ago.
- Apartments were vacant for an average of 37 days, only 4 days longer than in the peak rental season of 2022.
- Phoenix saw a whopping 1.21% uptick in recently built apartments — one of the highest increases in the nation. This, combined with the lag effect of the pandemic construction boom when 28,000 new units were built throughout the metro, offered renters in Phoenix a larger pool of options to choose from in peak rental season.
- This pushed the occupancy rate below the national average, at 93.3%, especially as more renters decided to move this summer compared to the peak rental season of 2022.
- Only 55.3% of apartment-dwellers in Phoenix renewed their leases, significantly below the share of renters who renewed the same time last year (61%).
- Based on these metrics, Phoenix earned a Rental Competitive Index (RCI) score of 42 in peak rental season, below the national average of 60. But despite the changes in Phoenix’s competitivity in 2023, renters still have a hard time finding an apartment here.
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