Greater Phoenix’s multifamily market continues its dynamic pace, according to a report released by Colliers International in Greater Phoenix.
- During the first quarter of 2017, vacancy fell 40 basis points to 5.6 percent. This is welcome improvement for the beginning of the year, but the rate is 40 basis points higher than a year ago.
- Rental rates rose further in the first quarter, reaching $949 per month. This is a 5.6 percent increase from one year ago.
- Construction remains strong and is forecast to gain momentum in the upcoming quarters. Nearly 1,500 units came online in the first quarter, up from 800 units in the fourth quarter of 2016.
- Investment activity in the multifamily sector slowed in the first quarter of 2017. Despite the downturn, transactions are still 30 percent higher than they were in the first quarter of last year.
