Property manager explains some of the reasons for rising rents in Cape Coral

Rental prices are skyrocketing everywhere in Southwest Florida, pushing people to move out of our area.

One family says their rent was set to increase by $800 a month, so they packed their stuff and left the state, and they aren’t alone.

It wasn’t that long ago that the average rent increase was 3-5%. Now, families in Southwest Florida see hikes as much as 40%.

WINK News spoke with a property manager to get the perspective of the people doing the rent raising.

Apartment complexes and rental properties are everywhere in Cape Coral. People moved there because they were affordable places to live, even giving some families a chance to save money to buy a house.

That is not the case now because inflation makes it challenging for families to save money, and rents are skyrocketing.

The average for a one-bedroom in Cape Coral is $1,800, according to apartmenthomeliving.com.

“Most of our stuff is running about a three to $400 increase,” said Kevin Kellogg, broker and owner of Logical Choice Realty Group.

Kellogg manages several rental properties in Cape Coral. In the last several months, his clients increased the monthly rent, Kellogg believes, because their costs are soaring. Specifically their property taxes and insurance rates.

“They’ll ask what the new market rate is for their property. I’ll share that number, and I normally give them a range. And they’re still not getting what they need, and it creates a negative income for them,” said Kellogg.

People typically never buy a property thinking they’ll lose money. Kellogg said that’s pushing smaller landlords to get out of the rental business. “We’ve done half a dozen investors that have sold out of the market this year.”