Rent prices for Austin area apartments, homes surges

Austin’s housing market is skyrocketing causing prices to soar, but rent prices are also seeing a spike. According to a recent report, the average price for a one-bedroom apartment in Austin to rent is up by around 45%.

"We really are experiencing an increase in rents," said Natalie Young, Manager for A+ Apartment Locators.

Rent.com released a look into the average rent price trends across the county for January. According to the report, Austin is one of 10 cities to have one of the largest rent increases for a one-bedroom apartment, ranking in at number five with a 45.1% increase.

"I had a customer today that I just worked with and his rent was going up about $380. I had another customer that I worked with whose rent is $1,000 and his apartment community is going up to close to $1,600, so almost a 50% increase which is very, very high," said Young.

Young is a licensed real estate agent and manager for A+ Apartment Locators in Austin. She says rent increases are being seen all over the area especially in some of the more affordable apartments, and part of the reason has to do with the pandemic.

"At the start of the pandemic, really up until about mid-last year, we saw really good rates in Austin. I think part of the sticker shock is that people got such low rates back then that now, when they're seeing the $400, $500, $600 increases, it's because their rate was lower than the market normally is," she said.

The renting market is also seeing a spike just like the housing market. Young says people moving to Austin that would normally buy a house are now turning to renting.

"People who relocate here who might normally purchase a home, they're not getting the homes, and that's pushing people into the rental market that might not normally be here," said Young.

She says the area is not rent controlled so landlords can bump up rent prices as much as they please, but she says that does not mean you can’t do anything to try to change that.

"Try to negotiate with the office to always see if that is the best rate that they can get for you. The other thing is when you are out looking and you're out looking for an apartment, now it's not the time to try it out. You should always lock in your rate honestly for the longest lease that you can: 12 months, 15 months, 18 months," said Young.

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