US apartment vacancy rate rises
NEW YORK: US apartment vacancy rate rose to 4.3 per cent in the third quarter from 4.2 per cent in the
preceding quarter, real estate research firm Reis Inc said on October 1.
Construction is generally accelerating despite new construction falling to 40,795 units in the third quarter, from 51,442 units in the second, Reis said. “Even without the tsunami of new supply hitting the market, vacancy is on the way up,” Reis Senior Economist Ryan Severino said.
“This does not portend goods things for the next couple of years as new completions increase and flood the market,” he added. Asking and effective rents both rose 1.3 per cent during the quarter, the report said.
New York remained the most expensive market in the country with effective rents averaging roughly USD 3,400 per unit, according to the report. New Haven, Connecticut remained the tightest market, having the lowest vacancy rate of two per cent.