Yes, you’ve seen the increased gas prices, the increased food prices and, if you are involved in residential real estate, the increased home prices and rental rates.
We’ve been talking about it for a while now… rental prices here in Central Indiana, due to a lack of overall inventory and a strong demand, continue to increase at unprecedented rates.
Coming off a quarter where we saw the fewest number of homes rented (389 in Q4 of 2021), Indianapolis received an expected uptick in rental activity in the first quarter of this year, as 482 homes leased through our local MLS system.
Rent prices, as is the trend, continued to increase, moving from $1,332 in Q4 of 2021 to $1,358 in this past quarter.
That $1,358 represents a 12% increase in rents from the same quarter last year.
For those of you who track the normally very steady Central Indiana rental market, that number is nothing short of staggering.
Days on market did make a slight increase this last quarter (moving from 31 to 35), but that number was expected due to some inclement weather which always stimies activity.
T&H Realty’s Perspective
As we enter the second quarter, the rental market is officially in full swing here in Central Indiana.
Applications are brisk, lease signings are frequent, and our average days on market are low.
We don’t expect that trend to change in the near-term.
Keeping up with market rents is a primary focus of our team… not only during the initial marketing, but also at renewal. It’s critical, particularly in this environment, that we continue to run comparative market analysis (CMAs) on all our properties to ensure a fair market rent is achieved.