Austin, Texas, is expected to see population growth of more than 50,000 people over the coming year, Multi-Housing News reports, an increase likely to mean higher demand for apartments.
Rental agents and managers may find themselves very busy with the influx, which MHN notes is likely to significantly raise the occupancy rate in the metro area and increase rents as a result. The city also has a favorable employment situation, the source reports, with 15,500 more jobs added by employers in the third quarter. This constitutes a 2 percent increase.
According to Apartment Finance Today, several rankings of the nation’s cities have placed Austin near the top, largely due to its employment outlook. Experts say employment is a major factor limiting demand for rental properties, so cities with strong job markets are likely to see the apartment business perform well.
According to the Census Bureau, the metro area grew 41.9 percent since 2001, far faster than the state of Texas and the nation as a whole. The renter population fills 41 percent of the city’s residences, according to AFT, a percentage expected to grow given the current lack of interest in homeownership. Because of these factors, the city’s management companies and property owners are well-positioned if projections for the future hold up.