Renters currently living in an apartment or those set to move in a new space in 2019, should expect to pay a higher rate than they did for the previous year.
Job creation is still strong in the Bayou City, and job seekers from abroad and around the country are continuing to make the move to the biggest city in the state of Texas. Remember though, Houston still is relatively cheap compared to the other major cities in the USA like Miami and Chicago. According to Rentjungle, the average rents for Chicago number well over $1800 per month. when compared to Houston, renters are getting a deal.
Oil and Gas Companies Hiring
Although the price of Oil has dropped from the mid 70’s, companies have found a way to withstand the recent drop. Currently, there are 53 apt. communities under construction that will yield an additional 15,753 units onto the marketplace.
According to the leading apartment market research in the city, Apartment Data is forecasting 3% growth rate in Houston. The majority of renters will be looking for more of the Class B and Class C properties. These are the types of rentals that cost less than your Class A. The vast number of renters are looking for their rents to stay the same at worst.
Be prepared for renewal notices that will show an increase in your rent, if you choose to renew your lease at your current apartment community.
Hottest Houston Submarkets
Although the inner city generally has the most new construction and class A apartments. This doesn’t mean that it’s the hottest market. Remember that Houston has several suburbs.
The Lake Houston/Kingwood area has show the fastest rental growth. Currently rentals are fetching over $117 a square foot per month
In comparison the most expensive market is Downtown Houston. Here square footage will set you back $207.7 per square foot per month.
Here are some market demographics for apartments in Houston
- Occupancy 89.6%
- Price $1022 per month
- $1.22 per square foot
- Average size 845 square feet
Occupancy is set to increase to 90%. Many of the concessions that renters expect will be limited for this year.
|Top Management Companies||Total # of Units||# of Apartments|
|Allied Orion Group||12,474||59|
As you can see from the table, Greystar has a sizable advantage from the rest of it’s competitors. Alliance Residential also claims that Houston is one of their most competitive marketplaces in the United States.
Cheap Compared to Smaller Towns
When your compare rents in Houston, to say rents in Athens GA, as you can see here, it’s truly amazing that a city with the size, recreational activities, and culture can remain so affordable. People aren’t only flocking to Houston, but also San Antonio, Dallas, and Austin. Some of the most exciting apartment construction is occurring in the entire state.