DETROIT (WXYZ) — Apartment rents in Detroit are 3.6 percent compared to the national norm of 3.1 percent, according to a new report.
RealPage, a provider of software and data analytics to the real estate industry, reported that Detroit apartment occupancy is approaching a two-decade high.
According to the report, the upturn in Detroit occupancy mirrors a nationwide surge. Detroit's occupancy, which stood at 97.5 percent, tied with New York's rate as the highest occupancy among the nation's largest markets.
In July 2019, average rent in Detroit was $998, compared to $1,414 nationally. Additionally, average occupancy was 97.4 percent.
“It’s unusual to see Detroit’s apartment sector performance move above the U.S. norm in terms of both occupancy and rent growth. While the local economy is only expanding at a moderate pace, recent demand for apartments has proved strong enough to surpass the limited supply of additional product that has been delivered,” RealPage Chief Economist Greg Willett said in a release. “Prices are up most notably for Detroit’s middle-market Class B apartment product. That’s a pattern seen in many places across the country.”
The report notes that both annual rent growth and occupancy in Detroit are running above year-ago figures.