Wall Street Journal's Laura Kusisto reports that apartment rents have declined in some of U.S.'s largest and priciest cities during the third quarter of 2016.
According to apartment tracker MPF Research, rents in San Francisco declined 3%, dropped approximately 1% in New York, and dipped ever so slightly in Houston and San Jose, Calif. These mark the first drops in those markets since 2010. Across the country, rent growth was 4.1% on average.
“San Francisco and New York are leading the way in the downturn,” said Ken Rosen,chairman of the Fisher Center of Real Estate and Urban Economics at the University of California at Berkeley. “People are going to be surprised that this is happening but they shouldn’t be. It’s been too far, too fast.”