ApartmentAdvisor National Rent Report

This month’s report focuses on three key findings:

1. Despite a seasonal uptick, rent prices are down year-over-year in the majority of markets.
2. Many southern cities are seeing a rent reprieve, while major northeastern markets are being squeezed.
3. When looking at year-over-year rent price data on the state level, the country is divided.

National rent prices: Recent seasonal uptick belies overall slowdown in rent growth.

National median rent prices have been on the rise over the past three months, in line with expected seasonal increases as demand for rental housing heats up heading into the summer months. At $1,529, the national median price for a one-bedroom apartment was up 4.6% from the end of February, while larger sized units also saw substantial increases since winter.

However, despite the recent seasonal uptick, national prices in May were down compared to last year during the same period for most unit sizes, further evidence of a continued slowdown in rent growth at the national level. The one-bedroom median price was down 2.7% in May, and two-bedroom was down 2.3%. By comparison, from May 2022 to May 2023, rent prices increased by 5.6% and 3.5%, respectively.

The rent price picture is rosy in some cities, thorny in others

Not surprisingly, the price picture varies depending on where in the U.S. renters are seeking housing. In May, year-over-year median rent prices were down by more than 1% in 58 of the 93 cities we analyzed for this report. That slowdown was most obvious in many of high-growth cities in the southeast where housing demand spiked post pandemic. In Florida, prices in Miami, Orlando, Tampa, and Jacksonville all saw substantial year-over-year declines in one-bedroom median prices. Likewise, Atlanta, GA’s one-bedroom median price ($1,587) was down 11.6% year-over-year.

Several Texas cities have also seen a notable slow-down in rent price growth compared to recent years. The one-bedroom median rent price in Austin was down over 10% year-over-year, while Dallas prices were down 9.8%, and Houston prices were down 8.5%. Texas has experienced substantial population growth in recent years, driving demand for housing and a flurry of new housing development. That surge in supply has likely put some downward pressure on prices, at least for now.

While renters in some cities are getting a reprieve, there are plenty of cities where renters are still encountering soaring prices. Twenty-five of the 93 cities we track had year-over-year rent growth of more than 1%. This includes the nation’s most expensive rental market, New York, where the price of a one-bedroom was $3,620, up 1% from April and up 7.5% from May 2023. One-bedroom rent prices in Boston — also among the top three most expensive rental cities — were also around 5% higher this May than a year ago.