ST. LOUIS (KMOX) – Much like the housing market in the St. Louis area, the supply in the apartment market remains very tight.

St. Louis Federal Reserve Regional Economist Charles Gascon says investors are trying to catch up with the demand, but vacancy rates remain under five percent.

“About 95 percent of apartments that are available for rent are occupied by people, so you want that number, somewhere between 9 and 10 percent seems like a normal range,” he says.

Gascon says construction that paused during the recession is still behind demand that’s rising because more young people are deciding to rent, and baby-boomers are moving into apartments.

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