The motor city’s rental rates have been at a steady increase over the years and contrary to what some people say about it eventually slowing down, Detroit has actually reached the point at which it now ranks 10th in the US in terms of growth rate.
The Apartment’s Guide published an annual report analyzing the rental rates of the top 100 most populous cities using a weighted average formula based on the number of available units in the beginning of each month. From the beginning to the end of 2019, Detroit indicated an increase of 13.2% which is the 10th highest increase in the whole nation. The state of Michigan as a whole saw a rate increase of 15.6% putting it at the 5th highest position in the US.
The skyrocket increase can be attributed to the surge of studio units in the city. Those same units saw an increase in price of around $1,200 per month directly putting it at the top of the nation having an overall average of 31.8%. One or two bedroom units saw a marginal increase of 13.2% and 9.1% respectively.
So many developments are taking place in an effort to rebuild the city’s economy that it fuelled the rapid increase of the real estate market values. If that’s not enough sign for you to invest in Detroit, we’re starting to wonder what is!
Read the full article here: https://detroit.curbed.com/2020/3/4/21164568/detroit-rent-rates-increase-downtown-midtown