RENO – A report released this week by the Nevada State Apartment Association (NVSAA) shows Northern Nevada apartment rents are still rising, but at a much slower rate than they were last year.
The report, issued by the NVSAA based on data provided by CoStar, shows asking rents for apartments in the Reno-Sparks area through the second quarter of this year averaged $1,550 per month. That’s up from $1,493 per month at the end of 2021, and up from $1,475 one year earlier.
According to the report, local apartment rents increased by 4.1% over the last 12 months. That’s down from the all-time high annual growth rate of 13.3% set in mid-2021.
At an average of $1,550 per month, the report noted that local apartment rents are still below the national average rent of $1,640 per month and remain a relatively affordable option compared to nearby markets in California and elsewhere.
“Reno has been in a growth cycle over the past decade. Rents continue to rise as demand continues to grow, especially from people moving here from out of state,” said NVSAA Interim Executive Director Susy Vasquez. “Northern Nevada rents are expected to continue going up as the region continues to experience unprecedented growth, but not at the double-digit growth rates we’ve experienced over the past few years.”
The supply of apartments in Northern Nevada continues to increase to keep up with a strong demand for housing. The report showed 4,500 units under construction in the Reno-Sparks market, representing an 11% increase in its overall apartment inventory. This marks an all-time high in multifamily construction in Northern Nevada.
Meanwhile, the vacancy rate for local apartments continues to stabilize, with the average vacancy rate now at 6%, up from 5.8% last quarter. During the same period in 2021, the local vacancy rate was 5.2%.
This report is provided by the NVSAA based on data from CoStar, a leading provider of commercial real estate information.
About the NVSAA
The Nevada State Apartment Association is the voice of the multifamily housing industry in Nevada. The nonprofit organization provides a variety of services to its 894 community, property management and business partner members statewide, including legislative support, education and community outreach. NVSAA is committed to promoting and supporting the diversity, integrity and success of its members and their industry. For more information, visit www.NVSAA.org.