For Rent

How is the Rental Market doing? Vacancy Rates and Rental Prices ANSWERED!

How fast are properties renting out? What are the prices?

Vacancy Rates? Rent to Value Ratios?! – Check out my rental inventory here

It is extremely hard for the public and other industry members to obtain real rental prices and real vacancy rates via online sources. What do most people do? Check rental websites for properties that are being advertised for rent. This is misleading. It does give insight on competition and a general idea of what options are out there in the competitive landscape. It does not give actual rent price, terms, how long it took, whether that property was vacant or just being advertised near the end of another lease, whether the property rented out, and on and on. My office Realty Executives Focus and our rental division is a small to modestly medium rental company with over 150 rental properties in the Edmonton and Area. Our inventory is focussed in Edmonton, Fort Saskatchewan, and Sherwood Park (with a handful in areas like Beaumont, Spruce Grove, St. Albert, Redwater, Bruderhiem, and Strathcona County).

For the purpose of this conversation the information I am going to provide is based off 100 rental properties. Out of which I am pulling data for 20 Properties in Sherwood Park, 30 properties in Fort Sasktchewan, and 50 properties in Edmonton. Finally, I am taking 50% of each area and giving half apartment condos and half residential (houses and duplex properties). So 10 condos, 10 houses in Sherwood Park, 15 and 15 in Fort Saskatchewan, and 25 and 25 in Edmonton. For further information on location indicators and other aspects of which vary’s rental conditions please give me a call!

Period I am analyzing is 2019 January 1 – May 31 (Average over the 5 months)

Vacancy Rates: Percentage of Available Units (My Vacancy Rates are Out of this World – Ask for More Details!)
Average Rental Price: Simple Average Monthly Rent
Rent to Value: Yearly Rent Divided by Property Value (6% is the magic number for cash flow i.e. $1500 per month rent for a $300,000 investment – I just did a deal on a unit with basement suite that gets 8.9%! Condo’s can be misleading as this measurement does not take into consideration condo fees and impact on investment. Condo prices are LOW so these numbers are HIGH in 2019 – THIS WORKS OUT TO $500 per month rent per every $100,000 of property value)

Edmonton Houses

Vacancy Rate: 0.05%
Average Rental Price: $1630 per month
Rent to Value: 6.2%

Edmonton Condos

Vacancy Rate: 0.009%
Average Rental Price: $1470 per month
Rent to Value: 8.3%

Fort Saskatchewan Houses

Vacancy Rate: 0.04%
Average Rental Price: $1543 per month
Rent to Value: 5.7%

Fort Saskatchewan Condos

Vacancy Rate: 0.01%
Average Rental Price: $1242 per month
Rent to Value: 8.7%

Sherwood Park Houses

Vacancy Rate: 0.01%
Average Rental Price: $1783
Rent to Value: 5.5%

Sherwood Park Condos

Vacancy Rate: 0% (No Vacancy in 2019!)
Average Rental Price: $1365 per month
Rent to Value: 8.2%

If you need help analyzing the rental market. Have questions about investing. Anything about real estate call me!