As we see exponential growth in the San Antonio area, we’ve seen more and more interest in what the rental market looks like in 2022. Consumers have seen increased living affordability, and are now making plans to relocate or invest in the area. Whether that’s jobs or housing, the San Antonio area is rapidly growing, and consumers want to know the condition of the market.
We hope to provide valuable information for those who are looking for up-to-date housing information.
For 2020 we decided to use the most updated information available, which is the 2019 Zillow Rent Index. This gave us a more precise look at the market accounting for not only one-bedroom apartments but for all housing. This includes single-family homes, condos, 1 to 5+ bedrooms, and multi-family housing. The goal of using an estimate versus homes on the market is “to give consumers insight into rental price trends in a way that is not biased by the mix of homes currently for rent.”
It is often hard for consumers to make informed decisions solely based on available housing. By using this index, we hope to paint a more accurate picture of the 2022 San Antonio rental market and explore possible trends in the market.
Most Expensive:
78266 - ZRI $1826
Garden Ridge - High homeownership rate 93.4% compared to the national average of 63.8%. “The population was 3,259 at the 2010 census, up from 1,882 at the 2000 census.” This is most likely due to the growth of the areas between San Antonio and Austin (along I-35). With a population increase of around 73% in 10 years, the growth, combined with a high homeownership rate, has left the market with fewer options for renters.
78248 - ZRI $1723
78248 is a zip code encompassing the Inwood area of San Antonio. Sitting just inside Loop 1604 in north-central San Antonio, this area has a population of 14,372. With an average income 66% higher than the national average (approximately $135K a year), home values in this area are high. A 77.5% homeownership rate makes finding rentals in this area extremely difficult with those moving to the area opting to buy.
78257 - ZRI $1682
Located outside of loop 1604 in northwest San Antonio, 78257 covers the Dominion neighborhood. It is regarded as one of the wealthiest communities in San Antonio, and the median home value sits at around $667K. With some of the highest incomes and home values, those moving to the area opt to buy, leaving few rental options that are much higher end.
Percent Change In Median Rent:
Perhaps a more impactful view of the changing San Antonio market is the percent change in rent from 2018 to 2019. The majority of high rents seem focused in the north-central region of the market. Percent change seemed to be highest in the far west area of the city.
The three zip codes with the highest rents were not shared by zip codes with the most significant percentage increase in rent. The most expensive zip code, 78266, only saw a rise of 4%. According to the U.S. Bureau of Labor Statistics, 3.5% is the national average for rent increase.
78253 - %10
With an increase in rent of almost three times the national average, this area has become popular with young families and individuals who are moving outward in search of cheaper housing. However, from 2010 to 2017, the population jumped from around 29,000 to just over 41,000 residents (an increase of around 12,000 residents). This lead to rental shortages, as the affordability of land has led many to purchase homes.
78254 - %9
Neighboring 78253, 78254 is another far west zip code that has experienced exponential growth as recently as 2017. According to San Antonio Express-News, the “far West Side has been one of Bexar County’s fastest-growing areas over the last decade due to its abundance of land, its good schools, its relatively clear roads and its lack of regulations.”
This area has continued to multiply as large employers move to the area, including Wells Fargo and QVC, among others. Support and amenities moving to the area to support these businesses have brought a wave of new residents to the area very quickly.
78203 - %6
Located south of the Alamodome, this zip code covers parts of the Historic Gardens, Arena District, and their nearby neighborhoods. This area has seen increased growth as the city’s “Decade of Downtown” initiative comes to an end. While seen as a success as it has met many of its goals, the byproduct of this increased growth and development of downtown has been increasingly higher rents.
As development moves from downtown outward, areas just outside have seen development and increased investment. St. Paul Square (which borders this zip code) has seen development as recent as October 2019. The city has agreed to sell a number of properties that once belonged to the St. Paul Square Historic District.
Choosing Your San Antonio Zip Code
Price range, location, and amenities are all important considerations if you are looking for a rental home in the Alamo City. High-demand areas, or those currently undergoing rapid development, will have fewer rental opportunities than older, more established neighborhoods.
No matter what type of rental home you are looking for, one of our great REALTOR®s will be happy to advise you on the best areas to focus your search and help you find the perfect one. Start your search today at homecity.com. If you would like more information about the local real estate market, be sure to check our other great blogs on San Antonio news and market stats.
Sources:
Average Income and Home Ownership Data - Esri Tapestry Segmentation Dataset
