Abilene-area October rents and security deposits for single-family homes were relatively flat when compared to the preceding 12-month rent average, bringing an end to the climb in tenant rent across the summer and early fall.
This average rent of $877 for October 2014 fell slightly below the 12-month average of $887 and was $34 below the average rental price from the previous month. Similarly, October 2014 security deposits were $2 less than the 12-month average at $680. Movement of security deposits serves as a useful proxy for the quality of the rental housing stock. Higher deposits indicate landlords that wish to safeguard their investment with an increased guarantee from tenants. That acknowledged, the flat security deposit in tandem with steady rents characterize October 2014 as a month where the market offered no measurable improvement in the quality of homes available for Abilene renters.
This data utilizes NTREIS data on leased properties in Abilene, Texas. This data provides 13 months of data spanning October 2013 to October 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 an average of the last 12-months and the data from the same month in the 2013.
When analyzed on a per square foot basis, Abilene experienced a 2.53% town-wide decrease in rents. Homes in 79601 and 79605 matched this trend by renting for less than the 12-month average. In particular, homes in 79605 have felt this decline for the past four months, appearing to reach a local minimum this October. In contrast, homes in zip codes 79602, 79603 and 79606 countered this trend with increasing rents. This has been the case for the past three months for homes in 79602 which have seen rent/sqft climb to 86¢/sqft for October and September.
The story was split for the two Abilene school districts. Abilene ISD saw rents fall by 5.23% when compared to the 12-month average. Wylie ISD, on the other hand, saw rentals outperform Abilene ISD with a 6.11% increase relative to their 12-month average. Rentals in the Wylie ISD leased for 27¢ more than homes in the Abilene ISD during the month of October 2014.
In October, the duration of time homes remained on the market 5 days less or a 14% decrease in days vacant when compared to the 12-month average. Prorating average rent of $877 at $28.29/day, it is estimated these additional 5 days of rent for the 97 homes leased in October resulted in an extra $13,719.35 in revenue for local landlords. When analyzed by zip code, all homes experienced less time on the market when contrasted to the previous 12-months with the exception of homes in 79605. As seen in September 2014, homes in 79602 and 79606 spent the least amount of time on the market. Wylie ISD homes spent, on average, 23 days on the market while Abilene ISD homes spent 33 days before leasing.
According to NTREIS, 97 single family homes were leased October 2014 compared to 109 in October 2013 or a 11.7% decline. With 97 units leased at, on average, 68¢/sqft and sized at 1,284 square feet, these leases are estimated to deliver a October 2014 value of $85,060 to the Abilene economy. Considering the coming 12-months and the leases executed during October 2014, these leases potentially account for a $1,020,720 annual contribution to Abilene’s economy.
According to NTREIS, 84 single family homes were leased September 2014 compared to 122 in September 2013 or a slight 3.4% decline. With 84 units leased at, on average, 73¢/sqft and sized at 1,315 square feet, these leases are estimated to deliver a September 2014 value of $79,281 to the Abilene economy. Considering the coming 12 months and the leases executed during September 2014, these leases potentially account for a $951,372 annual contribution to Abilene’s economy.
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.