Foreclosures create tight rental market in Valley

PHOENIX - Vacancy rates in the rental market have dropped to an average of just 6.6 percent while rent prices increased 2.5 percent, according to the real estate research firm Reis .

Mike Rassler with Apartment Finders says the number of people who've gone through the foreclosure process have increased the demand for apartments and reduced the supply.

"It's a good time to be in the apartment business," said Rassler.

Rassler helps people find apartments and these days, he says it's no easy task.

"It's definitely getting more challenging, no question about it," said Rassler.

For example, Cristian Covaciu, owner of the Goldcrest Apartments near 15th Avenue and Missouri, doesn't have a single vacancy at the moment.

When he does get a vacant apartment, it usually rents in just a day or two.

"They ask if I have any apartments for rent, I tell them I'm full," said Covaciu. "They're shocked. They go from place to place looking for an apartment and sometimes it's very hard to find."

Rassler says many apartment complexes have waiting lists.

"People are going to have to understand the days of coming in today and moving in tomorrow are probably a thing of the past," said Rassler.

Rassler says landlords have become more selective who they rent to requiring better credit scores and higher deposits.

"Whereas a couple of years ago, landlords were bending over backwards for every issue there was," said Rassler. "Now all of a sudden we're seeing it tighten up."

Rassler expects the rental market to remain tight for the foreseeable future.

The Goldcrest Apartments are located at 1521 W Denton Lane in Phoenix.  Covaciu can be reached at 602-501-1688.