Unit rent fell 4.9% percent when comparing April 2014 rents to an average of rents in the preceding 12-month period. This leasing trend is a continuation of rents realized in March 2014 which also fell below the preceding 12-month average.
This data utilizes NTREIS data on leased properties in Abilene, Texas. This data provides 13 months of data spanning April 2013 to April 2014, allowing the user to look across these months at changes in rental prices, days on market and inventory available town wide, both by school district and by zip code. The percentage changes calculated in this table compare the current month’s statistics to, first, an average of the last 12 months as a means of smoothing monthly fluctuations and, second, the same data from the prior year.
This two-month downward trend in rent is mirrored by security deposits collected by landlords. Landlords conceded 5.6% in security deposits when comparing the average deposit for April 2014 to the average of the prior 12 months. In contrast, April 2014 reversed a three-month decline in pet deposits with a 6.8% increase.
According to NTREIS, 110 single family homes were leased in April 2014 compared to 104 in April 2013. When compared to the preceding 12-month average of 104 leased units, one sees a 5.5% increase in leases booked compared to the prior month's average. Making a similar comparison, zip codes 79602 and 79605 saw a decline in leased units while 79601, 79603 and 79606 saw an increase in completed leases. This split story for zip codes in the Abilene ISD resulted in a gain in Abilene ISD leases along with an increase in Wylie ISD contracted leases.
Town wide, price per sqft for April 2014 dropped a penny below the preceding 12-month average, but was consistent with April 2013. If one considers that inflation has risen by 1.6% of the preceding 12 months, this April-to-April stability is illusory; in real terms, residential landlords have lost ground in rent per sqft.
With 110 units leased at an average rate of 69¢/sqft and an average leased unit size of 1,285 sqft , these leases are estimated to deliver a March 2014 value of $103,907 to the Abilene economy. Using the 13 months of historical data to create an annualized estimation of these lease’s contribution to the Abilene economy, it is estimated that the lease activity summarized in this table represents annual product of $1,230,971.
Town-wide, Abilene rentals leased faster than an average of the preceding 12 months, a repeat of the trend seen in March and February of 2014. In April 2014, homes in 79603, 79605 and 79606 leased spent less time on the market than the preceding 12-month average. Wylie ISD homes spent half the time on the market in April 2014 when compared to homes in the Abilene ISD.
If you have questions about this data, its assembly or interpretation, please contact us. We welcome the opportunity to discuss how this data might be employed to help you make informed choices regarding investment property in Abilene.