South Florida rents starting to fall, especially in Coral Gables

Apartment rents have started to fall in some South Florida cities.

In June, Coral Gables saw the biggest decline in asking rents for one-bedroom apartments, according to Zumper, falling 10.5 percent year-over-year to $1,700 a month. Miami Beach experienced the second largest drop at 5.9 percent, to $1,600 a month. Deerfield Beach and Hollywood rents fell by 5.9 percent, each, to $1,350 a month.

And in Key West, the most expensive market in South Florida, the average rent for a one-bedroom decreased by 4 percent annually in June to $1,930 a month, according to Zumper.

In Homestead, South Florida’s most affordable city, rents experienced the biggest bump in June, up 11 percent to $1,040 a month. The increase in less expensive markets like Homestead could be due to a growing demand for more affordable housing.

Property owners have been bracing for the financial impact of coronavirus, as millions of Americans have filed for unemployment – more than two million in Florida – since the pandemic began in March. The stay-at-home orders through May, in some markets, resulted in fewer people signing new leases and moving.

Across the country, about 80 percent of apartment tenants paid rent in June, a slight increase from rent collections during the same period last month, according to the National Multifamily Housing Council, which tracks 11.5 million market-rate rental apartments.

Some landlords are working with their tenants by waiving late fees, discounting or in some cases waiving rent or offering other concessions.