Hartford has been named one of the seven most affordable cities for multifamily investing by Crexi, an online commercial real estate marketplace, as the rental market experiences a surge in demand and rising prices.
The national average rent increased by $15 in April, taking the national average up to $1,659. Rents are expected to continue increasing this year, as the imbalance between supply and demand for multifamily units persists.
In Hartford, the price of rent grew 8% over the past year, and the vacancy rate stands at 2.5%, according to Crexi. The capitalization rate averages 7.9%, the group said.
Hartford saw $97 million in deals in the first half of 2022, with a median transaction price of $284,000, Crexi said.
The city has 55,205 housing units and a population of 122,549. It has experienced 10-year population growth of 0.56%, year-over-year job growth of 1.05% and an unemployment rate of 3.9%.
Seventy-five percent of the city’s dwellings are renter-occupied. The average asking rental price is $1,443.
Other cities that made the list are Albuquerque, N.M.; Tacoma, Washington; Birmingham, Alabama; Oklahoma City; Providence, R.I. and Buffalo, N.Y. Click here for the full report.
