Houston leads the nation when it comes to the number of families who rent instead of own, and you could be paying more in 2019.
That’s because analysts predict rents will rise in the upcoming year as demand increases.
“The economy is doing really well with oil and gas and, as a result, we’re having more of an influx of renters coming in,” said Martha Turner Sotheby’s realtor associate Nicholas Guidry.
According to a KHOU report, rent in a Galleria-area apartment goes for $4000 a month. While that’s a little higher than normal, overall market is bouncing back from a multi-year glut thanks, in part, to the economy and many apartments filling up after Hurricane Harvey.
“So, anything’s that’s not super-luxury is in a little bit higher demand,” said Guidry. “You know, people want to keep their rents down as much as they can.”
Industry research firm ApartmentData.com says higher demand usually means higher rents and fewer concessions. It predicts a 4 percent to 4.5 percent increase in rental rates for 2019. That translates into $810 more in annual rent on a $1500 apartment.
“That’s what I pay,” said renter Brianna Contreras.
She told us $1500 gets her little as far as amenities. However, she’s in a good location.
“I think it’s a little much, but it’s close to stuff and that’s nice,” said Contreras.
Houston is still home to lower rental rates than many of its peer cities. But Guidry said the bottom line for most people remains the same no matter where they live.
“And they don’t want to feel like, you know, their money’s being wasted,” said Guidry.
Experts say your dollar may go farther the farther you live out. Communities with fewer amenities usually have lower rents, and seeking the help of a professional locator may also save you money.