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USC Casden Forecast: MF Rents Expected to Soar at Least 2 More Years
| Posted on 14 April, 2016 at 1:36 |
USC Casden Forecast: MF Rents Expected to Soar at Least 2 More Years
 April 13, 2016 The 2016 USC Casden
Multifamily Forecast released this week revealed that higher demand for
apartments across Southern California is expected to keep vacancies low,
and drive significant rent increases over the next two years. A big
reason for that is most multifamily construction in Southern California
targets higher income renters, and does little to control rent. Vacancy rates are projected to continue their gradual decline through
2018. As a result, average rents are expected to increase over their
2015 levels by $109 in Los Angeles County, $149 in Orange County, $84 in
the Inland Empire, and a whopping $155 in San Diego County by 2018. USC Lusk Center for Real Estate’s Raphael Bostic says, “Though
multifamily construction permits are back to pre-recession levels and
have provided some relief, population and employment growth are driving
up demand faster than new inventory can hit the market. For renters, new
construction has simply kept a bad situation from getting drastically
worse.” |
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Multifamily Forecaster plays a vital role in improving the industry. They are responsible in providing detailed forecast reports on real state vacancy and lease rates in a particular country or areas, as well as individual sub-markets. The Multifamily Forecast Reports are usually made annually. And also, it includes on the statistical reports are the effects or impacts of vacancies on price rates of rentals of real state properties. They also study the rising or dropping of interest rates on the leasing prices that may affect the capitalization rates of a particular country or area.
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