Dallas-Fort Worth Q2 Multifamily Market Insights: Employment Growth Surges, Rents on an Upswing
Highlights:
- Conditions in the Dallas-Fort Worth multifamily market remained strong during the second quarter but did not duplicate the rapid improvement that had been occurring in the market for the past several quarters. The outlook remains favorable, with supply growth expected to closely track demand.
- Area vacancy rose for the first time since the second quarter of last year, creeping higher after reaching an all-time low. The rate rose 120 basis points in the past three months to 3.9 percent. Despite the recent increase, current vacancy levels are down 110 basis points from one year ago.
- Rents continued to push higher in the second quarter, advancing 3.8 percent to $1,489 per month. Year over year, rents have spiked 19.3 percent.
- The pace of apartment sales cooled during the second quarter, but more properties sold in the first half of this year than traded in the same period in 2021. In transactions where pricing information was available, the median price through the first half is approximately $200,500 per unit, while cap rates are averaging 3.5 percent.
