Most Major Apartment Markets Essentially Full
It’s gotten harder to find vacant apartments in major metropolitan areas in recent years. Since 2014, the majority of the nation’s 50 largest apartment markets have seen occupancy of 95% or higher, threshold at which a market is considered essentially full. In 1st quarter 2019, 33 markets recorded occupancy at or above 95%. That number was down from the cycle high of 44 just two quarters earlier, a decline driven by large supply volumes in nine of the 11 markets that dropped below the 95% threshold following 3rd quarter 2018. For comparison, only four of the top 50 markets nationally recorded occupancy rates at or above 95.0% at the beginning of the cycle in 1st quarter 2010. During the cycle, only four markets have consistently maintained occupancy of 95% or greater: Miami, New York, Oakland and San Francisco.