Missoula Rental Housing Vacancy Drops Below One Percent
Finding an apartment in Missoula became even harder in the last few months of 2020.
Sterling Commercial Real Estate Advisors in Missoula released a report Wednesday that says the available rental housing rate dropped below one percent in the fourth quarter last year. The report says a balanced rental estate market would have about a four percent vacancy rate and that Missoula’s low rate means new housing isn’t keeping up with demand.
The report also says that rent went up in Missoula 5.5 percent last year, while it declined just over one percent nationally during the same time period.
The real estate firm says the vacancy rate could bounce back somewhat in 2021. The firm says it expects over 400 new rental units to come onto the Missoula market this year, which is just shy of what it estimates Missoula needs to add to keep up with demand. Adding 400 new rental units this year would be more than double the rentals Missoula added in 2020.