October is following a steeper trend started in September. The downward trend began in July and has seen a steady decline every month. This is compared to units rented in 2015; we are seeing levels similar to 2012 and 2013.
Units rented compared to 2015
- July -1.8%
- August -1.4%
- September -12.3%
- October -16%
Active units compared to previous years
On the positive side, inventory has not been impacted like last year. Our inventory for active listings as of October is below 2015.
- October 2015 -19%
- October 2014 -13%
We have spoken to clients and associates and feel the downward trend may be a symptom of the election year cycle. Although 16% drop in rented units is high, we’ll have a better understanding on the direction by the end of the year. We still have a couple of months of data to process and we can declare a trend in January.
Do Home sales affect the rental market?
The sales market seems to be affecting our numbers seeing the best year in sales since 2006 per our MLS provider. As consumers look to buy we lose them from the pool of renters and it’s difficult to quantify how sales impact the rental market but we know from experience a good year in sales affects us all.