According to a recently released report by Harvard University, the inflation-adjusted increase in rents from 2013 to 2015 was the highest increase over any two-year period since 1987. The official government numbers cited in the report are supported by private research, which show an even larger jump in rents. Government research shows 3.5% average annual rent increases for 2015, while private research shows 5% average annual rent increases. Some markets like Portland, San Francisco, Fort Myers and Denver are showing annual rent increases of 10% or more.
Part of the rise in rents is due to the fact that rental vacancies are at their lowest levels of the past 20 years. If you or anyone you know is being squeezed by rental increases, it may make sense to do a buy vs. rent analysis for your situation. Please contact your local Axia professional for further details.