Homebuilders are hard-pressed to keep up with demand for new houses, resulting in skyrocketing prices across the state. The median home price in metro Austin, for example, hit $425,000 in March, an all-time high, according to the Austin Board of Realtors. Inventory was a record low 0.4 months.
Rising prices, as well as changing sentiments about remote work and home life spurred by the COVID-19 pandemic, have brought extra attention to a trend that has been gaining steam for years: detached single-family residences built specifically for the rental market.
Although these properties are designed similarly to typical for-sale subdivisions, they often have the same types of features as a class A apartment complex — leasing staff, maintenance staff and amenities such as swimming pools, dog parks and fitness centers. Several such properties have already been built in the Austin area, and a few more are rising. Many are sure to follow.
The single-family rental product “serves a need for people who want to live in the suburbs and want some more space, but struggle to put a down payment together,” said Vaike O’Grady, Austin regional director for Zonda, a housing market research company.
You can read the rest of the story on the Austin Business Journal’s website.