As home prices rise locally and around the country, rents are going up, too, and increases in Phoenix outpace the national average, according to one new analysis.
Nationally, rents in May were up a half a percent over April and up 2.6 percent over last May, according to a report from Apartment List, an online apartment rental marketplace.
Phoenix saw a 4.9 percent increase from last May, and a half a percent rise since April.
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The pace of increases is more brisk so far in 2017 than it was in 2016, Apartment List said in a statement. (The calculations include apartment complexes and single-family homes, using government data as well as rentals listed on the company’s website.)
Phoenix’s population is the fastest-growing of any city in the nation, something Mayor Greg Stanton attributes in part to a healthy local job market. Simultaneously, a rapid pace of home sales this year has created a tight supply of inventory, especially at the lower end of the price range where potential first-time homebuyers may be looking to switch from renting to owning.
The median cost of a two-bedroom rental in Phoenix was $1,020 in May, the Apartment List analysis finds. Nationally it was $1,150.
The report does not break out data for North Phoenix neighborhoods, but all other major cities in the metro area had higher average rents than Phoenix proper. The median cost of a two-bedroom in Surprise is $1,340, for example, and in Gilbert it’s $1,350.
An informal sampling of two-bedroom apartments at Bela Rosa, Talus Ranch and elsewhere in North Phoenix, as listed on Apartment List, found prices ranging from $975 to $1,150. Two-bedroom homes in the area were priced from $1,495 to $2,250.