Renters in the Denver metro area saw some relief in average rent during the third quarter of 2019.

Apartment rent decreased to $1,506, a difference of $22 from the previous quarter, according to the latest Denver Metro Area Apartment Vacancy and Rent survey published Wednesday.

The average vacancy rate in the third quarter also dropped across Denver at 4.7%, marking the lowest vacancy rate the metro area has seen since the second quarter of 2015.  

“Renters across Metro Denver should once again be encouraged to see average rents leveling off, but the continued drop in vacancy rate should highlight the sustained demand across the region,” said Mark Williams, the executive vice president of the Apartment Association of Metro Denver, in a statement. “The stability of rents going forward will be dependent on there being an abundant supply of housing stock to keep pace with the region’s growth.”

After accounting for inflation, the metro area’s annual rent has fallen either at or somewhere below 2 percent since 2016, Williams said.

Rents in the metro area vary widely. Boulder ranked most expensive with average rents of $1,981, while the lowest rents were in Wheat Ridge at $1,213 per month.

Denver-Downtown ranked second most expensive, with the age of its apartment buildings largely dictating the average rental prices. Apartments built in 2010 or later were the most expensive.

Demand for Denver apartments is escalating with population growth and an increase in the number of companies moving to the city, said Terrance Hunt, vice chair of Newmark Knight Frank Multifamily’s Denver office, in a statement.

“This demand has kept vacancy low despite the steady number of deliveries over the past few years” he said. “However, with the number of permits going down 24 percent in the past year, it does create a concern that the lack of future deliveries combined with already low vacancy will put upward pressure on rents.”

More than 10,000 apartment units have been added in Denver over the last 12 months, meaning Denver now has upwards of 355,000 units total.

This quarter marks the lowest year-over-year increase in units since 2016’s fourth quarter.