March 15, 2016
Apartment metrics in Salt Lake City have been lower than the national average for much of the current economic cycle, according to apartment research firm Axiometrics. But, in February, the company’s data showed annual effective rent growth at 7.2%, versus the national average of 4.1%.
According to Axiometrics’ recent market trends newsletter, a lack of new supply in recent years is one reason for increasing rent growth. While demand has averaged 1,869 on an annual basis, the market has received approximately 1,534 new units annually since 2010.
Other contributors to this trend are an increase in single-family home prices, and strong job growth.
Axiometrics predicts annual effective rent growth in Salt Lake City to average 5.4% in 2016.