An important part of residential property management is having an understanding of the market in which the properties are located. Factors such as the average market rent price, vacancy rates, the percent of income renters are spending on housing and the percentage of rental properties in the overall market. Here is a brief overview of these factors in the Bellingham, WA market as of 2015. Statistics and information are taken from this data source which drew its figures from the U.S. Census.
Residential Property Management: Rental Rate Statistics for Bellingham, WA
Average market rental rate
Average rental rates can be measured on three levels: federal, state and local. From 2012 to 2015, the national rental rate average rose to $959; an overall increase of 8.24 percent. In Washington State, the average rental price rose to $1,080; an overall increase of 12.85 percent. Clearly the rental rate increase in Washington State was far steeper than the national average. However, Bellingham’s rental rate average only rose by 5.68 percent to $930. Bellingham’s rental price in terms of overall value and percentage of increase was below the state and national average.
A key factor for residential property management is vacancy rates. A lack of available rental space can have an adverse effect on renters in rental markets as it causes housing shortages and increasing rental rates. By contrast, high vacancy rates could point to an undesirable location, too much building compared to market needs or a depressed market/community. On the national level vacancy rates decreased to 5.85 percent in 2015; a decrease of 0.92 percent from 2012. During the same time period, Washington State’s vacancy rate decreased to 3.27 percent; a decrease of 2.03 percent. Bellingham saw its vacancy rate drop to a very low 1.82 percent; a decrease of 3.65 percent. Overall the Bellingham market is competitive for residential property management but there are still some vacant units available.
What percentage of income are renters spending on housing?
On the national level, the average renter spent 20.63 percent of their income on rent in 2015; this represents a decrease of 0.02 percent from 2012. For Washington State, the percentage rose by 0.32 percent from 2012 to 2015 to 20.21 percent. In Bellingham renters paid an average of 20.29 percent of their income for rent in 2012; a decrease of 0.19 percent from 2012. Concerning Bellingham residential property management, the city compares well to the national average and to the state overall.
Rental properties as a percentage of overall housing
The number of rental units as a percentage of overall housing affects how residential property management should be approached. In 2015 the percentage of rental units (including apartments, houses and other dwellings) totaled 36.97 percent on the national level; an increase of 0.88 percent from 2012. In Washington State, this rental unit percentage number fell slightly to 37.58 percent in 2015; a decrease of 0.09 percent from 2012. In Bellingham the percentage of rental units as a slice of overall housing fell more noticeably to 36.29 percent in 2015; a decrease of 1.41 percent from 2012.
Bellingham residential property management: rental rates
The following points are relevant to Bellingham residential property management:
Average rental prices are lower than both state and federal rates. They are lower than the state average by roughly $150 and $29 on the national level.
Vacancy rates are lower than the state and national averages. With a vacancy rate under two percent, the Bellingham residential property management is highly competitive.
Rental rates as a percentage of a renter’s income compare well to both national and state averages and are within minor percentage points of both. This allows residential property management to remain competitive.
Bellingham’s rental market is a smaller percentage of its total housing market when compared to state and national averages with Bellingham being 1.29 percent lower than the state and 0.68 lower than the national average.
Son-Rise Property Management has been serving the property management needs of Bellingham and Whatcom County since 1996. Contact us today to see how we can help you find a rental property for your family or manage your rental properties.