Richmond 3Q23 Multifamily Market Insights Report: Vacancy remains tight, inching lower in the third quarter

Highlights:

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• The Richmond, Va., multifamily market posted a mixed performance during the third quarter, as rents ticked lower even as vacancy started to tighten.
• The vacancy rate dipped 10 basis points during the third quarter to 6%. Year over year, area vacancy is up 40 basis points. Despite an active pace of new development, Class A vacancy rates have remained more than 100 basis points below the market average.
• Local apartment rents dipped in recent months after posting solid gains in the first half of 2023. Asking rents fell 1.1% during the third quarter to $1,498 per month. Area rents have risen 1.3% in the past year and are forecast to post healthy gains in 2023.
• After a fairly steady pace of investment activity in 2022, transaction volume has been minimal in 2023. This trend continued in recent months. The median price thus far in 2023 is $191,500 per unit, nearly identical to last year’s figure.

Read the report, or contact our Richmond office to learn more.