Phoenix Real Estate Blog

It’s become more difficult to find affordable rentals as rental rates rise due to high demand.

According to the U.S. Census Bureau, the median rate for rentals has jumped 14 percent.  Rental rates have increased from $591 a month in 2003 to $673 in 2007.  Average rent is expected to rise 5.2 percent in 2008 compared to 3.1 percent in 2007 as vacancy rates decrease from last year, the National Association of Realtor® reported.

Mark Obrinsky, chief economist at the National Multi Housing Council stated “We’ve seen demand for rental housing go up. The ownership side is retrenching and we’re seeing the demand going to the rental side.  There’s a lot of hesitancy to buy. Others can’t get (financing), so they’re remaining renters longer.”

Medium rents for 12 major metropolitan areas in the first quarter of 2008 were:

Austin: $907
Phoenix: $939
Atlanta: $986
Boston: $1,645
Chicago: $1,355
Las Vegas: $1,056
Los Angeles: $1,699
Miami: $1,368
New York: $1,751
San Francisco: $1,810
Seattle: $1,211
Washington D.C.: $1,687

Source: Rentometer and USA Today, Mark W. Williams (04/22/2008)