[gsch]

>Average rents, meanwhile, increased by 4.1% to $1,248 in the first quarter from a year earlier, compared with the 2015 first quarter’s 5% increase, according to Axiometrics Inc., an apartment research company.

So rents increased 4.1% instead of 5% as they did a year ago. Both of these numbers are higher than the rate of inflation [0]. So rents are still rising in real terms.

Can we really say the market is "cooling", then? I would think that the "heat" of a market would be measured by the first derivative of price, rather than the second.

[0]: http://www.marketwatch.com/story/us-inflation-rate-in-past-1...

[Kinnard]

The market could be "cooling" while still "hot".

[gsch]

Sure, but in the article (and your metaphor as I understand it), "heating" and "cooling" refer to the rate of change of the rate of change, i.e. whether the year-on-year increase in rental price is increasing or decreasing. "Hot" (and presumably "cold") would then refer to the YOY increase itself.

I'm wondering whether the clearer metaphor isn't to use "heating" and "cooling" to refer to positive/negative YOY increases, respectively, and "hot" and "cold" to describe the average prices.

I guess "Market still heating up, just not as fast" makes for a less compelling headline.