Philadelphia is seeing a substantial increase in apartment construction and rental activity, according to reports by RentCafe.
Over the past three years, the Philly metro area has contributed 18,200 new apartment units, ranking 20th nationwide. “At the city level, Philadelphia has taken the lead within the metro area, with 6,852 new units added to the market between 2020 and 2022,” says Esther Urmosi, communication specialist at RentCafe. “Nearby Exton follows in second place with 1,045 units added during this three-year period, and Wilmington comes in third with 937 units.”
By the end of the year, the Philly metro area is projected to introduce 4,806 new rental units, with 2,950 located in the city itself.
This increase in apartment construction is needed to accommodate the growing rental activity in Philly. Urmosi states, “Philadelphia has consistently maintained a strong presence among the nation’s top cities for rental activity, consistently holding the 12th spot in July and August as one of the most sought-after hubs for renters.”
Compared to August 2022, this August’s Philadelphia listings added to renters’ favorites lists surged 169%. There was also a significant 41% increase in listing views for the city and a 38% increase in saved personalized searches for Philly apartments.
However, although Philadelphia’s apartment construction rate is surging, it’s not quite enough to keep up with prospective renters. The City of Brotherly Love has seen an 11% decrease in the availability of rentals compared to last August.
Still, Philadelphia continues to be a growing hub for renters. As of August, it was the second most popular city for renters in the Northeast, falling between Bronx, N.Y., and Queens, N.Y.