Dear colleagues
Could somebody give information about desirable vacancy rate for housing policy planning?
Some thumb rule for forecast of housing demand. 5% more or less?
Dear colleagues
Could somebody give information about desirable vacancy rate for housing policy planning?
Some thumb rule for forecast of housing demand. 5% more or less?
It largely depends on where you are. I work in a college town, where the vacancy rate can measure as high as ten percent. That's probably typical for towns with transient populations. In most communities, though, five percent is considered the acceptable vacancy rate.
Not only does it depend on location but type of housing. i'm sure for policy planning, 5% is a reasonable estimate and is considered "stabilized occupancy".
Thank you!
This is one of those questions that really can't be answered without context. . .
E.G. type of housing, Population, Local Market
However, as an affordable housing developer I know that I none of my banks/funders will allow me to project a lower than 5% vacancy rate, and many won't let me project less than one.
Quote
