RISMedia
  • News
  • Premier
  • Publications
  • Events
  • Education
  • Newsmakers
  • Power Broker
No Result
View All Result
  • Agents
  • Brokers
  • Teams
  • Marketing
  • Coaching
  • Technology
  • More
    • Headliners New
    • Luxury
    • Best Practices
    • Consumer
    • National
    • Our Editors
Join Premier
Sign In
RISMedia
  • News
  • Premier
  • Publications
  • Events
  • Education
  • Newsmakers
  • Power Broker
No Result
View All Result
RISMedia
No Result
View All Result

HQ2 Impact on the Winning City’s Rental Market

Home Latest News
By Liz Dominguez
May 8, 2018
Reading Time: 3 mins read
HQ2 Impact on the Winning City’s Rental Market

Skyline of downtown Nashville, Tennessee, USA.

The search for HQ2 continues, and Amazon is slowly whittling down its list of top 20 contenders. Visits to the top 20 prospects have been completed, and these cities are eagerly awaiting to hear whether another round of cuts is in the future, or if Amazon is ready to choose its winner.

Recently, Zillow released a report on how local rental prices would be impacted by the new headquarters. Zillow used previous instances of local rent response due to the arrival of workers, along with market data, to determine which cities would see the largest boost to rents if selected.

According to the report, Nashville, Denver and Los Angeles would most likely see the largest boosts, while Toronto, Chicago and Indianapolis would see more modest increases. Which city is more likely to win? A panel of over 100 housing experts in a separate survey by Zillow ranked Atlanta and Northern Virginia as the top two prospects, both of which would receive only modest increases to rents if selected (a 0.4 and 0.6 percentage point boost, respectively).

Here’s Zillow’s estimated impact on rents for the 17 metro areas Amazon is considering:

  1. Nashville, Tenn.
    Median Rent: $1,497
    Zillow Rent Forecast: 0.9 percent
    Amazon Effect: +2.4 percentage points
  1. Denver, Colo.
    Median Rent: $2,047
    Zillow Rent Forecast: 3.6 percent
    Zillow Rent Forecast: +2.3 percentage points
  1. Los Angeles, Calif.
    Median Rent: $2,746
    Zillow Rent Forecast: 3 percent
    Amazon Effect: +1.9 percentage points
  1. Raleigh, N.C.
    Median Rent: $1,436
    Zillow Rent Forecast: 2.4 percent
    Amazon Effect: +1.9 percentage points
  1. Pittsburgh, Pa.
    Median Rent: $1,063
    Zillow Rent Forecast: -1 percent
    Amazon Effect: +1.9 percentage points
  1. Miami, Fla.
    Median Rent: $1,862
    Zillow Rent Forecast: 2.5 percent
    Amazon Effect: +1.7 percentage points
  1. Boston, Mass.
    Median Rent: $2,371
    Zillow Rent Forecast: 3.6 percent
    Amazon Effect: +1.4 percentage points
  1. Columbus, Ohio
    Median Rent: $1,317
    Zillow Rent Forecast: 1.1 percent
    Amazon Effect: +1.3 percentage points
  1. New York, N.Y.
    Median Rent: $2,401
    Zillow Rent Forecast: -1 percent
    Amazon Effect: +0.8 percentage points
  1. Austin, Texas
    Median Rent: $1,686
    Zillow Rent Forecast: 0.7 percent
    Amazon Effect: +0.8 percentage points
  1. Dallas, Texas
    Median Rent: $1, 606
    Zillow Rent Forecast: 2.3 percent
    Amazon Effect: +0.8 percentage points
  1. Washington, D.C.
    Median Rent: $2,146
    Zillow Rent Forecast: 0.5 percent
    Amazon Effect: +0.6 percentage points
  1. Atlanta, Georgia
    Median Rent: $1,394
    Zillow Rent Forecast: 3.2 percent
    Amazon Effect: +0.4 percentage points
  1. Philadelphia, Pa.
    Median Rent: $1,579
    Zillow Rent Forecast: 0.4 percent
    Amazon Effect: +0.4 percentage points
  1. Toronto, Canada
    Median Rent: $1,031 (CAD $1,333)
    Zillow Rent Forecast: 1.4 percent
    Amazon Effect: +0.2 percentage points
  1. Chicago, Ill.
    Median Rent: $1,633
    Zillow Rent Forecast: -0.2 percent
    Amazon Effect: +0.1 percentage points
  1. Indianapolis, Ind.
    Median Rent: $1,208
    Zillow Rent Forecast: -0.2 percent
    Amazon Effect: +0 percentage points

“In many respects, the results are intuitive,” says Zillow’s Economic Research Director Aaron Terrazas. “Smaller markets and/or markets with a record of less responsive (or ‘elastic,’ in economist-speak) housing supply should expect a larger increase in rent growth. Bigger markets and/or those with a history of rapidly expanding the local housing supply should expect a smaller impact. And in larger markets with more diversified labor forces, fewer workers would likely have to relocate to the area to fill the new jobs, which is also likely to blunt rent growth.”

For more information, please visit www.zillow.com.

Dominguez_Liz_60x60_4cLiz Dominguez is RISMedia’s associate content editor. Email her your real estate news ideas at ldominguez@rismedia.com. For the latest real estate news and trends, bookmark RISMedia.com.

Tags: AmazonAmazon HeadquartersHQ2real estate newsRent GrowthRental MarketZillow
ShareTweetShare

Liz Dominguez

Related Posts

Meeting the Demand of the Secondary House Market
Best Practices

Meeting the Demand of the Secondary House Market

June 29, 2022
Mark Your Calendar: REALTOR® Store Summer Sales—Get 20% Off
Best Practices

Mark Your Calendar: REALTOR® Store Summer Sales—Get 20% Off

June 29, 2022
Captaining the Ship: Be Prepared to Navigate Real Estate’s Choppy Seas
Best Practices

Captaining the Ship: Be Prepared to Navigate Real Estate’s Choppy Seas

June 29, 2022
Service That Keeps Your Business Growing
Best Practices

Service That Keeps Your Business Growing

June 29, 2022
3 Things Your Clients Should Know About Property Lines
Best Practices

3 Things Your Clients Should Know About Property Lines

June 29, 2022
Berkshire Hathaway HomeServices Expands Global Presence in Italy
Best Practices

Berkshire Hathaway HomeServices Expands Global Presence in Italy

June 29, 2022

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Tip of the Day

Break a Leg: How Acting Techniques Can Enhance Your Pitch

Authenticity, emotion and empathy are all a big part of a successful client presentation, and actors have the answers. Read more.

Business Tip of the Day provided by
REGISTER NOW

Recent Posts

  • Meeting the Demand of the Secondary House Market
  • Mark Your Calendar: REALTOR® Store Summer Sales—Get 20% Off
  • Captaining the Ship: Be Prepared to Navigate Real Estate’s Choppy Seas

Categories

  • Spotlights
  • Best Practices
  • Advice
  • Marketing
  • Technology
  • Social Media

The Most Important Real Estate News & Events

Click below to receive the latest real estate news and events directly to your inbox.

Sign Up
By signing up, you agree to our TOS and Privacy Policy.

About Blog Our Products Our Team Contact Advertise/Sponsor Media Kit Email Whitelist Terms & Policies

© 2022 RISMedia. All Rights Reserved. Design by Real Estate Webmasters.

No Result
View All Result
  • Home
  • Premier
  • News
    • Agents
    • Brokers
    • Teams
    • Consumer
    • Marketing
    • Coaching
    • Technology
    • Headliners New
    • Luxury
    • Best Practices
    • National
    • Our Editors
  • Publications
    • Real Estate Magazine
    • Past Issues
    • Custom Covers
  • Events
    • Upcoming Events
    • Podcasts
    • Event Coverage
  • Education
    • Get Licensed
    • REALTOR® Courses
    • Continuing Education
    • Luxury Designation
    • Real Estate Tools
  • Newsmakers
    • 2022 Newsmakers
    • 2021 Newsmakers
    • 2020 Newsmakers
    • 2019 Newsmakers
  • Power Broker
    • 2022 Power Broker
    • 2021 Power Broker
    • 2020 Power Broker
    • 2019 Power Broker
  • Join Premier
  • Sign In

© 2022 RISMedia. All Rights Reserved. Design by Real Estate Webmasters.