If you’re in the market to rent an apartment in Dallas, the numbers are beginning to tell the story of a COVID-19 recovery.
Year-over-year rent growth in Dallas was 1.1 percent in April compared with 0.7 percent a year ago, according to the May 2021 Dallas Rent Report compiled by Apartmentlist.com.
That increase might not sound earthshattering, but it’s part of a national trend. Nationally, the increase was 2.3 percent, the biggest monthly jump in the national index since Apartmentlist.com started tracking the data. Rent growth has been outpacing previous-year averages for several months, indicating that this year’s moving season could be historic.
Although its increase seemed minuscule, Dallas’ increase was the fourth consecutive month it has registered rent gains after a decline in December 2020.
In the Zillow Observed Rent Index, the rental market showed rebound signs, rising for the third consecutive month, and making up ground after the pandemic-fueled slump. The index rose to $1,722, up 0.9% from February, the largest month-over-month increase in any March on record, and up 1.1 percent from March 2020. In the Zillow index, Dallas-Fort Worth registered a $1,548
At Apartmentlist.com, Dallas’ rental growth ranked 54th among the nation’s 100 largest cities. The median rent for a one-bedroom apartment in Dallas is $1,013, and $1,215 for a two-bedroom. As a comparison, San Francisco’s 2BRs go for $2,496, more than twice the Dallas price.
According to Apartmentlist.com, the largest 10 Dallas-Fort Worth cities have seen rental increases. Arlington had the fastest growth with a year-over-year increase of 72 percent. Median 1BR rent costs $1,034 while a 2BR is $1,262. Plano has the most expensive rent with a 2BR median of $1,589.
Fort Worth has the least expensive rents in D/FW with rents increasing 1.3 over the past month and 2.8 over the past year.
Statewide, Texas had rent growth of 1.7 percent over the past year. Rents have grown by 3.3 percent in San Antonio and 1.5 percent in Austin.
Other Notable Reports
- Zillow Home Value Index: The typical U.S. home value rose to $276,717 in March, up 1.2 percent from February, and the largest one-month increase in the 25-year history of the Zillow Home Value Index. In the Dallas-Fort Worth region, the typical home value is $283,123, a 9.9 percent increase from a year ago. U.S. for-sale inventory fell just 1.1% month-over-month in March. In D/FW, inventory was minus 35.2 percent, down from 5.4 percent a year ago. Learn more.
- WalletHub: Dallas and Arlington are among the 10 most diverse in the United States, according to a new study by personal finance website WalletHub. Dallas ranked fourth, followed by Arlington at eight, Fort Worth is 25th and Plano is 55th. To compile the rankings, researchers analyzed data from the U.S. Census Bureau and Association of Religion Data Archives and compared 501 of the biggest cities across five key factors, including household diversity. Learn more.
- National Association of Realtors: Pending home sales increased 1.9 percent in March after two months of decline, according to the National Association of Realtors’ Pending Home Sales Index. Pending home sales transactions in the South, which includes Texas, jumped 2.9% to an index of 137.2 in March. A sale is listed as pending when the contract has been signed but the transaction has not closed, though the sale usually is finalized within one or two months of signing. Learn more.
- National Association of Homebuilders: Soaring lumber prices have resulted in the price of an average new single-family home increasing by $35,872, according to an analysis by the NAHB Economics team. This lumber price hike has also added nearly $13,000 to the market value of an average new multifamily home. The latest Random Lengths prices as of April 23 show the price of framing lumber near $1,200 per thousand board feet — up nearly 250 percent since last April. Learn more.
- CoreLogic: Millennials have made up the largest share of home purchase mortgage applications for the past five years, according to the CoreLogic Loan Application Database. Before 2020. Millennial homebuyers comprised more than half of overall home-purchase applications. Learn more.
- National Association of Home Builders: In the first quarter of 2021, 33 percent of homebuyers expect that finding the right home will be easier in the months ahead than did a year earlier (25 percent), according to the latest Housing Trends Report. A majority of buyers (61 percent) still expect the house search will become harder or stay about the same in the near future. Learn more.
- NAHB Housing Trends Report: In the first quarter of 2021, 33 percent of homebuyers expect that finding the right home will be easier in the months ahead than did a year earlier (25 percent), according to the latest Housing Trends Report. A majority of buyers (61 percent) still expect the house search will become harder or stay about the same in the near future. FHA loans represented 19.3 percent, VA loans 5.3 percent, and cash 4.1 percent. Learn more.
