Tuesday, August 15, 2017
Landlords are still allowed to screen applicants on employment, credit scores, income ratios and other criteria.
Read a statement on the City of Seattle website.
News Reports: City of Portland Plans to Extend Relocation Assistance Following Landlords' Judicial Appeal
The news comes on the heels of two Portland landlords filing an appeal of a recent judges' ruling allowing the relocation assistance.
This week: The City of Portland considers special tax breaks for projects approved before inclusionary zoning took effect; Mayor Ted Wheeler criticized for lack of action on affordable housing initiatives; and Portland's relatively low rent-to-income cost average.
Monday, August 14, 2017
As of the second quarter, Portland's rent-to-income ratio is just a shade under 25%, at 24.96%. The average income in metro Portland is about four times average rents. That is higher than some places, such as Raleigh at 18.77% or Austin at 21.53%, but a lot less than other markets, and less than the national average of 28.99%.
The highest rent-to-income ratio in the country is New York, at 51.33%. Other pricey markets include LA at 42.95%, San Francisco at 38.57% and San Diego at 33.28%. Among major West Coast markets, Portland has the lowest of all rent-to-income ratio.
Source: August, 2017 report from CBRE.
Wednesday, August 9, 2017
In this week's news: REIS announces the national vacancy rate; streamlining Portland's design review; affordable housing bill proposed in U.S. Senate.
In an interview with HFO partner Greg Frick, Portland attorney Andy Hahs discusses the 2017 legislative session and Portland's relocation assistance program, which is likely to be modified and extended this year by Portland's City Council.
Friday, August 4, 2017
Landlords were previously provided with 60 days' notice on which units would be inspected. Now they will receive a 60 day notice of pending inspection and a 10 day notice of the exact day, but they will not know which units will be inspected.
Previously, landlords could hire a private inspector if they didn't want the city inspector to conduct the inspection, but landlords weren't required to provide the resulting written report. The rules will now require inspectors turn over the resulting report to the city.
Thursday, August 3, 2017
- The state and most counties offer a 60-day appeal window, but some only offer 30 days.
- Your property has significant deferred maintenance or capital needs
- Your property has construction defects
Portland will remain among the highest income growth for multifamily in 2017, even as vacancy rates increase. Freddie Mac estimates Portland gross income will increase by 5.7% with a year-end vacancy rate of 5.1%.
Download the full mid-year report here.
Yardi forecasts that as that new supply is absorbed, occupancy rates are likely to fall, especially in construction-heavy submarkets like downtown Portland and Austin's Hyde Park, which have seen occupancy decline by more than 3% in the past year.
Yardi expects the second half of 2017 to have slow rent growth the second half of 2017 with increases more in line with wage growth and increases in supply reducing occupancy. Occupancy rates in Portland and Austin have fallen as much as 80 basis points, according to Yardi.
The company forecasts effective annual rent growth in Portland this year will be 2.5%.
A mid-year report by Fredie Mac Multifamily Research Group forecasts Portland's gross rent growth at 5.7% for 2017, with an end of year vacancy rate at 5.1%.
Tuesday, August 1, 2017
Seattle's Vacancy Rate Jumps 2.8%
Census estimated Seattle-Tacoma-Bellevue's vacancy rate has also increased the same amount -- 2.8% in the past three months -- from 1.9% to 4.7%.
The nation's lowest vacancy rates:
Allentown-Bethlehem-Easton, PA-NJ (1.2%)
Fresno, CA (2.2%)
Grand Rapids-Wyoming, MI (2.7%)
Jacksonville, FL (3.2%)
San Jose-Sunnyvale-Santa Clara, CA (3.5%)
Syracuse, NY (3.5%)
San Diego-Carlsbad, CA (3.6%)
Buffalo-Cheektowaga-Niagara Falls, NY (3.7%)
Los Angeles-Long Beach-Anaheim, CA (3.8%)
Worcester, MA (3.8%)
Average National Rental Vacancy Rate
The average national rental vacancy rate for Q2 2017 was 7.3 percent for multifamily dwellings of five or more units -- up 0.6% from one year earlier.
Year-over-year vacancy rates in the western U.S. have climbed from 4.9% to 6.0%.
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U.S. Homeownership Rate Increases
After falling to a 26-year low last year, homeownership rates have been increasing. The current homeownership rate in the West has increased the past 12 months by 1%.
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*The margin of error for the Greater Portland MSA is 2.9%
This week: housing shortage to possibly worsen by 2030; developers underbuilding to avoid Portland IZ rules; Clark County tax appeals due 8/7.