Real Property Management & RentRange Release Report on Rental, Vacancy and Saturation Rates
HONOLULU – July 25, 2017 – Hawaii rental home rates have declined compared to this time last year according to Real Property Management Alliance, part of the nation’s leading property management franchise organization, and RentRange, the nation’s leading provider of Rental Market Intelligence™.
The quarterly “Rental Statistics Report” found that the average monthly rent for single-family homes in Hawaii was $2,365, representing a 7 percent year-over-year decrease. A year ago, Hawaii rents averaged $2,542 for a three-bedroom single-family home. Through the second quarter of 2017, the companies found that home rental rates increased just 1.7 percent nationally to $1,433. The data used rents on three-bedroom single-family homes only to insure comparability across markets.
“Wage growth has not kept up with the increases in the rental market and now we are seeing a slight correction. Although we have seen an easing in the average rent for a three-bedroom home, we continue to experience a strong rental market,” said Michael Arashiro, General Manager of Real Property Management Alliance, a Honolulu franchisee of the Real Property Management franchise system.
Hawaii vacancy rates, the percentage of homes considered unoccupied, inched down to 3.43 percent for the second quarter from 3.52 percent a year ago. Nationally, vacancy rates have stabilized at 4.9 percent for two quarters in a row. In comparison, the vacancy rate a year ago was 5.5 percent.
The report also analyzed the saturation rate in Hawaii. This is the estimated percentage of rented single-family homes as a share of all single-family homes. Results showed that in Hawaii, 29.88 percent of single-family homes are rented. Nationally, rentals represent 23.8 percent of three-bedroom single family homes which is the same as a year ago.
As leaders in the rental housing industry, the Real Property Management franchise and RentRange have an ongoing strategic business relationship. Real Property Management offices rely on RentRange’s proprietary rental housing data to provide landlord customers with accurate, current information about local rental properties and rental markets.