LAS VEGAS (KLAS) — Here’s a little good news for folks looking for an apartment in Southern Nevada. Little being the key word.
Rental prices are down and vacancy rates are up — both slightly –according to a report released by the Nevada State Apartment Association.
Based on data prepared for the association by CoStar, monthly apartment rents for Southern Nevada averaged $1,451 in the third quarter, down from $1,480 in the second quarter. The third quarter average, however, is still up from the same period in 2021, an average of $1,403, the report said.
Robin Lee, executive director of the apartment group, said in a Thursday news release that even though the Las Vegas valley has seen a huge jump in rental prices since the start of the pandemic, the area remains attractive with an affordable cost of living when compared with other western markets.
“Rents are expected to continue to decrease through the remainder of the year as vacancy rises from the all-time low we saw in 2021,” Lee said. “Even with record-setting inflation, local rents are still lower than the national average.”
Lee said the third-quarter monthly average nationwide is about $1,630.
The data from CoStar, an online real estate information marketplace, said the average vacancy rate in the valley for the third quarter is 7.5%, a bump of 3.6% for the third quarter of 2021. The report said Southern Nevada has more than 13,500 vacant apartment units.
The Nevada State Apartment Association also said about 8,600 apartment units are under construction, “which will expand existing apartment inventory by 4.9% once complete.” Most of the construction is in Henderson and Summerlin, the release said.
One study in May — by San Francisco-based Stessa Inc., an accounting software company for real estate investors — said that rent in the Las Vegas valley was up 24.8% from 2019 to 2022.