Cleveland Multifamily Market Report

Availability stays nationally low. Cleveland ended the second quarter with the lowest mean effective rent of any major Midwest market, and the second lowest in the nation. Additionally, the second quarter vacancy rate of 2.5 percent landed 370 basis points below the metro's long-term average, and is expected to remain one of the lowest in the nation at year-end. This signals a meaningful tailwind for rentals as locals face rising barriers to homeownership. The mean monthly mortgage payment is growing faster than the average effective rent, a trend that is likely to continue as growing concerns surrounding inflation place upward pressure on rates.