Texas Apartment Market
All Texas metro markets report current overall occupancies above 90%, with Austin leading the market at 93.39%. The lowest occupancy is found in the Dallas/Fort Worth market at 90.35%. Austin also leads the Texas markets in terms of rental rates, reporting the highest rents at $0.930 per square foot (psf). Average rents in the other metro markets are all below $0.870 psf. Monthly absorption was strongest in the Dallas/Ft. Worth market, as 641 units were absorbed in April. San Antonio also posted positive monthly absorption, while the Houston and Austin markets posted negative figures.
Austin Market occupancy dropped 0.07 points over the month, however at 93.39%, occupancy remains 2.10 points higher than in April of 2005. Average rents are currently at $0.930 psf and are $0.002 psf higher than last month and last year’s figures. Absorption dipped into the red this month, as -109 units were absorbed. Annual absorption stands at 3,589 units.
Dallas/Fort Worth Market occupancy is up 0.03 points over the month to 90.35%, and is 1.70 points above last year’s level. Although average rents have remained flat over the last few months at $0.867 psf, they are $0.003 psf higher than the rate seen at this time last year. Monthly absorption of 641 units brings annual absorption up to 13,575 units.
Houston Market occupancy fell 0.27 points to 90.73% over the month. Overall occupancy remains 4.29 points higher than April 2005’s level. Rental rates inched up $0.003 psf over the month and are up $0.027 psf over the year to $0.824 psf, while monthly absorption was -323 units. Absorption over the last twelve months is at 24,542 units.
San Antonio occupancy, at 91.69%, gained 0.08 points over the month and 0.47 points over the year. Rental rates are up slightly over the month, $0.001 psf, to $0.817 psf, which is $0.012 psf higher than last year’s figure. This is the third consecutive month of positive absorption, as 237 units were absorbed in April. Annual absorption totals 3,473 units.