Multifamily market fundamentals in San Antonio have begun to soften, particularly in terms of transaction and new construction volume. According to a Yardi Matrix survey, the metro’s rent movement was negative for four consecutive months through March, dropping 0.3 percent on a trailing three-month basis to an overall average of $1,274 – lower than the U.S.’s flat figure at $1,706. The occupancy rate in stabilized properties also decreased 170 basis points over 12 months ending February 2020 to 93%.
Deliveries through March were minimal with only 78 units from one fully affordable community coming online; however there is still 16k units underway with 8455 projected for completion by year-end according to Yardi Matrix predictions. Investors traded just $176 million worth of multifamily assets which averaged out at just over $100k per unit price point .
