Charlotte apartment renters got a small holiday gift in December, as average rents decreased for the fourth straight month, according to Axiometrics, the leader in apartment and student housing market intelligence.
The December average rent of $1,022 was 3.5% higher than the December 2015 average, capping a year of moderating performance in the market. December rent growth was 1.8 percentage points lower than the December 2015 rate.
“With about 22,000 jobs created in the 12 months ending in November, compared to the 35,000 in the previous 12-month period, the demand for apartments has decreased in Charlotte,” said Stephanie McCleskey, vice president of data acquisition for Axiometrics. “The number of new apartments delivered to the market in 2016 was 56% more than new supply in 2015, so filling all those new units is more difficult.”
Charlotte-Concord-Gastonia Metropolitan Statistical Area (MSA)
In researching Charlotte as compared to the national market, Axiometrics reported data as follows:
| Dec.2016 | Nov.2016 | Dec.2015 | |
| Charlotte | |||
| Average Rent | $1,022 | $1,028 | $988 |
| Annual Effective Rent Growth | 3.5% | 3.7% | 5.3% |
| Occupancy | 95.2% | 95.3% | 95.3% |
| National | |||
| Average Rent | $1,272 | $1,278 | $1,246 |
| Annual Effective Rent Growth | 2.1% | 2.4% | 4.3% |
| Occupancy | 94.5% | 94.6% | 94.8% |
The rolling two-year data for Charlotte continue to signal turbulent effective rent growth and occupancy rates.
Charlotte Submarket Report
Of the 15 Charlotte submarkets with more than 1,000 units, the following areas comprised the top five for annual effective rent growth in December 2016.
| Ranking | Charlotte Submarket | Effective Rent Growth December 2016 |
| 1. | Gaston County | 8.1% |
| 2. | Iredell County | 6.3% |
| 3. | East Charlotte-Albemarle Corridor | 6.3% |
| 4. | North Pineville | 5.4% |
| 5. | East Charlotte-Central Avenue | 4.6% |
About Axiometrics
Axiometrics’ expertise is monitoring and reporting on the apartment and student housing markets, providing an in-depth view of volatile market trends. Axiometrics’ granular data-collection methods and thorough analysis help clients make profitable – and wise – decisions.
To learn more visit www.axiometrics.com, follow @Axiometrics or on LinkedIn, or call 214-953-2242.
