Medford’s average rent price has just surpassed its previous all-time high this month. The current average rent price of $2,158 eclipses the previous record of $2,156 set in July of 2020 after stagnating for 18 months during the pandemic. With apartment occupancy nearing all-time highs in Medford, it looks like 2022 will be a banner year for Medford’s apartment rental market.
Medford’s recent rent price growth comes as the neighborhood approaches record high occupancy. The current vacancy rate for Medford apartments sits at 0.67%, close to the all-time low of 0.62% set in March of 2020. Considering there are 5 months left until vacancy hits its cyclical low, that number will continue to push to unprecedented lows as we approach September.
Apartment availability, another key supply metric, is currently 2.8% in Medford. Compared to its pre-pandemic level in March 2019, that is 1.15% lower indicating that the rental market in Medford has never been tighter. Both availability and vacancies metrics suggest that Medford’s average rent price will continue to rise throughout 2022.
Similar trends have been observed throughout the metro area, which has restarted the conversation about the lack of affordable housing in Boston. The 18 months of supply glut we endured during the pandemic may have slowed the urgency to create more rental units in the metro area. Now that the rental market has recovered, it looks as if the city has fallen behind its goal of keeping pace with the demand for more apartments in Boston.