Local landlords say B/CS area oversaturated with rental property
A housing trend is troubling local landlords and property owners. They tell us the Bryan-College Station market has become over-saturated with rental properties.
The Texas A&M Real Estate Center says the vacancy rate for apartments alone is nearly 18.9 percent, one of the highest in the state. Area landlords told KBTX the abundance of properties are hurting their bottom line.
"I own five houses in the Southside Historic Area that, in the past, I've had people waiting in line to rent them. We're struggling to rent some of those houses," said Robert Averyt, a College Station landlord.
Averyt has owned rental property for years, but he's finding it harder to lease them as inventory in town grows.
"I just signed a lease... for $1,250 for what I used to get $1,600 for. That seems like we're very overbuilt," he said.
"On the rental side of it, we are seeing some price reductions that are coming over in our system, and we're seeing more active leased properties right now than we have in any previous year, than any previous month," said Amy DuBose with the Bryan / College Station Regional Association of Realtors.
She says it's good news for people wanting to rent. She added property managers and landlords are sharing their concerns.
The Association of Realtors multiple listing service had more than 50 properties decrease their rental price in the last week.
"If you’re looking at a single family home, you’re looking at something with a yard where you can have room, you know, or your family and stuff like that- that is a benefit to them, for sure," said DuBose.
"It’s not to say that those rates are going to stay that way forever," she said.
Averyt met us at the Appraisal District on Friday as he fought to lower his property tax costs. Right now, he's not able to pass along some of those expenses into his rents.
"Our property taxes keep going up. Our expenses keep going up, but our income's going down," said Averyt.
The market is expected to eventually go back to normal, b Dr. Jim Gaines with the Texas A&M Real Estate Center told News 3 it could take as long as three years.