(The Real Deal) – As with home prices, the shortage has ignited rents. A HouseCanary brokerage report says the moratoriums on evictions are partly to blame for the price increases.
Throughout 2020 and much of 2021, state and local eviction protections have kept tenants in their homes and have made some landlords reluctant to list vacancies for fear that a new tenant will move in and leave. to pay.
As protections expired – Supreme Court rejected President Joe Biden’s ban in August – HouseCanary says owners are still ‘reluctant to open new listings’, limiting the number of units available and driving up prices .Learn more
The cities of Louisiana and Florida saw the largest decline in the number of job vacancies. Baton Rouge, for example, has reported a 78% drop in properties available for rent since the start of the pandemic.
In Fort Myers, Florida, available units have fallen by more than 50% over the same period, while median rents in the area have doubled.
The persistent impact of pandemic exoduses is at the origin of these changes. As remote workers searched for warmer locals, stocks withered and prices skyrocketed.
Now that return-to-office plans have brought tenants back to city life, coastal cities like New York are experiencing similar inventory shortages, made worse by continued apartment warehousing.
In April, UrbanDigs discovered that landlords were keeping more than 50% of New York’s rental stock out of the market, YieldPro reported.
Another puppeteer behind rising rents is the booming housing market. An incredibly tight market for homes pushed potential buyers into the rental market, which further weighed on supply.
HouseCanary expects supply to normalize over the next few months, easing pressure on rents. But tenants shouldn’t expect short-term discounts.