December Leasing Market Update
Grand Rapids and Kalamazoo are experiencing usual slowdown in leasing activity due to the winter season. The prime Grand Rapids leasing window seemed to be much shorter this year than in prior years. We usually see a lot of leasing activity through September, by August we were feeling the Days On Market(DOM) drag.
Here is what we attribute this slowdown to:
- The market has high rents.
- Renters are deciding stay put since they are unlikely to reduce their rent cost by moving.
- People got burned when they moved over the last two years and are getting pickier about who they rent from and amenities.
Here in Grand Rapids, we are seeing certain areas (like Heritage Hill) being hurt by brand new units coming on board. Every new unit dilutes the market. We are at about 45-60 days on market and prices are falling back to ranges that we had 3 years ago.
What Can You Do?
As a recap from our leasing blogs this month, there are a number of things you can do to put your unit at the front of the available units pack:
- Avoid the Biggest Leasing Mistakes (like trying to do your own cleaning). Check out our blog to read about how to avoid all four.
- Understand the leasing process (like what needs to be done before it is listed). We wrote a blog here that goes through the steps to get your home leased.
- Leasing is definitely not easy! It takes time and effort. We explain here why leasing a unit takes so much effort.
- If you need help with leasing a unit, you can always reach out to us with questions or sign up for a service.
More prospects are calling and being very pushy about the asking rents being too high. Keep an eye on this as it may be a symptom of something to come.