Rental Hikes

Salt Lake City registered the largest apartment-rent increase in the nation, as rents have soared 10.4 percent since last year, according to a report this week.
The Provo/Orem area was a close second, with rents increasing 10.1 percent over the past 12 months, according to the report by RealFacts Inc. Among the four Western states that the report called the "desert" region of the country, Utah ranked second in average rents, at $799. Nevada was tops at $882, Arizona was third at $783 and New Mexico fourth, with average rents of $730.

Utah also registered the highest average occupancy rates for renters, at 95.3 percent, with New Mexico second at 93.9 percent, followed by Nevada at 92.7 percent and Arizona at 89.5 percent.

RealFacts, a company specializing in multifamily data, said that average rents across the nation increased by only 2.5 percent in the past year, and 0.6 percent since March.

Wells Fargo economist Kelly Matthews said Friday that rental rates in Utah are increasing because of the current housing situation.

"Everybody was moving out of rentals and getting mortgages and buying homes," he said. "That process has reversed now, and many people can't get mortgages or don't want to get into houses, so the demand for rentals is definitely stronger now."

http://deseretnews.com/article/1%2C5143%2C700244360%2C00.html