Apartment operators in Midland/Odessa resorted to the nation’s steepest rent cuts in May. This market’s rent change swings tend to be drastic, as the performance here is reliant on an energy-dependent economy, which operates in a boom/bust cycle. Crude oil prices fell into negative territory for the first time in history in April 2020, and oil producers were fearing barrel storage capacity would run out in May. Following those market concerns, apartment operators in Midland/Odessa cut rents by 24.2% in the year-ending May. This was the most drastic decline nationwide, though the U.S. overall is also in a downturn during the COVID-19 pandemic, with rent cuts averaging at 0.5%.
