2022 Mission Hill Apartment Rental Market Report
The apartment rental market in Mission Hill has entered 2022 in a very strong position after 20 months of COVID-induced supply upheaval. Mission Hill was among only five neighborhoods in Boston where the real-time availability rate (RTAR) rose above 20% in 2021. Since then, the RTAR for Mission Hill apartments began 2022 at a historic low of 4.1% and average rent prices have already surpassed their all-time highs set before the pandemic.
Mission Hill Apartment Supply Trends
Historically, Mission Hill’s rental market has been characterized by high demand coupled with high turnover. Being one of the more reasonably priced rental markets close to local Universities, it is a favorite neighborhood for students seeking affordable off-campus housing. Therefore, it’s not uncommon for apartment availability to peak above 12% during a normal year.
However, in February 2021, the RTAR hit its cyclical peak at 21.01%. This marked an all-time high for Mission Hill. This supply glut was mainly caused by remote learning and remote work trends disrupting the off-campus and short-term housing markets. Similar trends were noted in Fenway, Allston, Downtown, and Seaport.
In the months that followed, we saw one of the fastest market corrections in history, Mission Hill’s RTAR plummeted to a record low 0.86% by October 2021. In addition to that, the real-time vacancy rate (RTVR) for Mission Hill currently sits at a record low of .11%, down from a record 10.7% in October 2020.
Most other Boston neighborhoods began 2022 in a deep freeze, with record low inventory and little to no activity during January. Mission Hill has been one of the few markets to follow the historical trend of rental markets coming alive in January. The current RTAR in Mission Hill is 12.12% and available apartment inventory has tripled to 280 since January 1.
Average Rent Prices in Mission Hill 2022
Like much of greater Boston, the average rent price in Mission Hill remained flat throughout most of the pandemic. It seems that trend has dissipated in 2022 as price growth has been accelerating since December. The current average rent price in Mission Hill is $2,640. As of January, Mission Hill has surpassed its previous all-time high average rent price set two years ago. With the exception of studio apartments, the current average rent prices in Mission Hill are higher than they were in February 2020 for all sized apartments.
|Mission Hill Avg. Rent Price||2/1/2020||2/1/2022||% Change|
Prices have been accelerating for larger unit sizes in Mission Hill. Since September, prices are up over $150 for 2 bedroom and 3 bedroom Mission Hill apartments. Prices for 4 bedroom and 5 bedroom apartments in Mission Hill are up over $200 during the same time period.
Our 2022 Prediction For The Mission Hill Apartment Rental Market
Based on current supply numbers, it looks like there is no price relief in site for Mission Hill. We’ve never seen a vacancy rate this low during February in this market. This will undoubtedly keep upward pressure on prices until September. Recent price acceleration for larger apartments in nearby Fenway, Symphony and South End will likely push even more renters towards Mission Hill in 2022.
Combine this demand resurgence with current inventory levels and inflation, we may see record price growth in Mission Hill this year as we predicted in our 2022 Boston apartment rental market report. We will continue to monitor these market trends as they develop.