by John Hill
Since June 2016, Abilene rentals remained on the market longer without an occupant. This trend was seen in both the Wylie ISD and Abilene ISD and the pace was driven by north side and far south side rentals.
This overview utilizes NTREIS data on leased properties in Abilene, Texas. This data provides 13 months of data spanning August 2015 to August 2016, 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 2015.
One would expect some seasonality in the number of days a house sits vacant and this 13- month retrospective compares current statistics with last year’s statistics. This reveals that August 2016 rentals took an additional 14 days to find a renter when compared to August 2015.
This is not an isolated event; for the last twelve months, homes leased slower when contrasted to market absorption in the same month from the prior year. A year-to-year comparison of days on the market shows homes leased over the last 12 months remain on the market from 2 to 17 days longer when compared to prior year’s performance.
Town-wide, average total August rents rose $16 from the previous month. This is a 2.9% increase in rents over the 12-month average and registers a meager .3% increase when compared to average rents seen in August 2015. Security deposits saw a 4.8% gain over their 12-month average, but were relatively unchanged from security deposits required in August 2015.
The inventory of rentals available in August 2016 were 45 years old. This mirrors the previous month and approximates the 12-month average age for rentals. Predictably, the oldest inventory of rentals was in 79601 (57 years), 79603 and 79605 (both 58 years). The newest rentals were found in 79606 with an average age of 30 years.
For another month, Abilene rents were flat when compared to the 12-month average at 77₵ per square foot. When analyzed by ZIP code, only rentals in 79606 saw a negligible 1₵/sqft drop in rent. Wylie ISD rents remained flat July to August following a slide from a 90₵/sqft in March 2016. Abilene ISD rents remain roughly unchanged from the previous month and identical to rent/sqft from a year ago.
According to NTREIS, 81 single-family homes were leased in August 2016. These units leased at, on average, 77₵/square foot and were sized at 1,413 square feet. Consequently, these leases are estimated to deliver a August 2016 value of $88,647 to the Abilene economy. Considering the coming 12 months and the leases executed during August 2016, these leases potentially account for a $1,063,768 annual contribution to Abilene’s economy.