While apartment rental rates nationwide are cooling, they continue to heat up in metro Phoenix.
The national average rent increased by 3.3% to $1,472 in August compared to the same month a year ago, according to data published by RentCafe, which is affiliated with Yardi Matrix.
During that same time period, the average rent at the Phoenix metro level was $1,176, increasing a whopping 8%, or $86.
While 253 cities out of 260 surveyed saw a seasonal wind-down in August compared with the previous month, metro Phoenix is still seeing rents increase.
Metro Phoenix is one of the leading markets in terms of unit deliveries and is still maintaining a reasonable rate of rent growth, said Roland Murphy, research director for ABI Multifamily in Phoenix.
“Phoenix is still holding pace as one of, if not the, most desirable markets in the country,” Murphy said. “We lead the nation in in-migration. Given the demand, we could just raise rates by a huge percentage overnight, wait out the quarter of shock and awe and proceed as if it were business as usual after the spike, but owners are being exceptionally responsible and measured, which not only fuels new demand, but preserves the ever-important renewal and preservation rates for established tenants.”
Here’s a quick look at apartment rents in cities around the metro Phoenix area in August, according to RentCafe:
- Scottsdale: $1,503
- Tempe: $1,384
- Chandler: $1,335
- Peoria: $1,189
- Phoenix: $1,087
- Mesa: $1,059
- Glendale: $993
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