New report spells out factors driving Alaska’s tight housing rental market

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They include a sharp jump in vacation rentals plus a historically low level of construction activity.

The report says rental vacancy rates in Alaska this year have plunged to their lowest level in a decade, hitting 4.3%, meaning few rental units are open. The rates hovered around 9% in 2020.

Rents rose 8.2% statewide this year, to a median of $1,276 for a two-bedroom apartment, with the cost of utilities included. “While Alaska has no publicly available eviction data, more than 26,000 renters — about three in 10 — received a share of the $262 million in rental assistance distributed during the pandemic to help tenants pay back rent and utilities and offset future payments,” the report says.Another key cause involves the lack of new construction activity, the report says.

Anchorage leads the short-term rental market with more than 2,300 listings, followed by the Kenai Peninsula with more than 2,100, according to the report.into the details of the short-term rental market.

 

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