What's Hot: Barnes and Noble Returns To Georgetown Next Week | How An Unmarried Couple Buys A Home Together
Rents, Vacancies Edge Higher in DC Area Class B Apartments
✉️ Want to forward this article? Click here.
Vacancies and rents both rose slightly in the DC area’s Class B apartment market in the second quarter of 2014, according to a recent report, which also predicted that downward pressure will be put on rents in the coming year.
The report, issued by real estate research firm Delta Associates, looks at year-over-year changes in the Class B market. Class A apartments are typically large buildings built after 1991, with amenities like gyms, pools and the occasional dog park or roof deck. (UrbanTurf reported on the changes in the Class A market last week). Class B buildings are generally older buildings that have been renovated or have more limited amenities. Delta’s analysis doesn’t include privately rented homes.
Overall, the Class B vacancy rate rose from 4.0 percent to 4.4 percent, and rents in the region increased, but only very slightly. The changes make more sense when you look at the breakdown by region. Rents in suburban Maryland are up 1.7 percent, while vacancy is down to 5 percent. Opposite yet less pronounced trends occurred in both northern Virginia, where rents dropped by 0.3 percent and vacancy rose to 6.1 percent, and DC proper, where rents fell 1.2 percent and vacancy rose to 4.9 percent, up from 2.5 percent last year.
Here’s a look at average rents for high-rise, Class B apartments in certain Delta-defined submarkets:
From the Delta report on the trajectory of rents:
Rents will likely trend negative for Class B assets during the balance of 2014 and through 2015 due to the over production of Class A assets and consequently continued increasing vacancy in B product. Several contributing factors will keep vacancy down; but rents will be under pressure through 2015.
This article originally published at https://dc.urbanturf.com/articles/blog/rents_vacancies_edge_higher_in_dc_area_class_b_apartments/8745.
Most Popular... This Week • Last 30 Days • Ever
In this article, UrbanTurf will explore the considerations and steps involved in buyi... read »
Estate taxes, also known as inheritance taxes or death duties, are taxes imposed on t... read »
The most expensive home to sell in the DC region in years closed on Halloween for an ... read »
Paradigm Development Company has plans in the works to build a 12-story, 110-unit con... read »
The map and text amendment applications that were filed with the Commission last Octo... read »
- How An Unmarried Couple Buys a Home Together
- What Are Estate Taxes and How Do They Work?
- The Cliffs in McLean Sells For $25.5 Million, Highest Home Sale In DC Area In Years
- 110-Unit Condo Project Planned in Alexandria Coming Into Focus
- The Zones That Could Lead To More Development in Chevy Chase Set To Go Before Zoning Commission
DC Real Estate Guides
Short guides to navigating the DC-area real estate market
We've collected all our helpful guides for buying, selling and renting in and around Washington, DC in one place. Start browsing below!
First-Timer Primers
Intro guides for first-time home buyers
Unique Spaces
Awesome and unusual real estate from across the DC Metro