Below 5% vacancy is excellent, 5-7% is healthy, and above 7% indicates market or management issues. San Antonio military areas typically have low vacancy of 3-5% due to constant PCS turnover. Always budget for vacancy in your cash flow analysis even if current rate is low.
Good vs Bad Rates
Below 5% excellent. 5-7% healthy. Above 7% needs attention.
SA-Specific Rates
Military areas: 3-5%. Suburban family areas: 4-6%. Urban areas: 5-8%.
How to Reduce Vacancy
Price competitively, maintain property well, respond to maintenance quickly, good tenant relations.
Budgeting for Vacancy
Always budget 5-8% vacancy in your analysis. Vacancy WILL happen eventually.