Oklahoma City,
Okla.; Louisville, Ky.; and
Birmingham, Ala. led the nation
with the cheapest monthly rent payments in January
SANTA
CLARA, Calif., Feb. 24,
2023 /PRNewswire/ -- The financial pain of shelling
out sky-high rent is a reality for many, with median prices in some
U.S. metro areas at nearly $3,000 a
month. Yet, in certain metros among the country's 50 largest
markets, renters can still find relative affordability, according
to the Realtor.com® Monthly
Rental Report released today.
Oklahoma City, Okla. is the
only metro among the 50 largest in the nation where renters can
find a median-priced apartment for less than $1,000 a month. The report showed that Oklahoma City offered the lowest monthly
rental price in January, at $982.
There are 10 markets where median monthly rents are lower than
$1,300, according to the report. Half
are in the Midwest, four are in the South, and one is in the
Northeast. None are in the West.
The least expensive markets are:
- Oklahoma City, Okla. -
$982
- Louisville, Ky. - $1,167
- Birmingham, Ala. -
$1,178
- Rochester, N.Y. - $1,235
- Columbus, Ohio - $1,242
- Indianapolis, Ind. -
$1,266
- Memphis, Tenn. - $1,274
- St. Louis, Mo. - $1,279
- Cleveland, Ohio - $1,290
- Kansas City, Mo./Kan. -
$1,298
Renters looking to take advantage of the best possible prices
should move quickly. While the rents in these metros are the lowest
among the 50 largest, for many of them, prices are increasing at a
faster rate than in the rest of the country.
"With high rents across the country, places that offer relative
affordability tend to be in high demand, which means more
competition and that these lower prices might not last," said
Realtor.com® Chief Economist Danielle Hale. "Many of these metros have fewer
available rental homes than previous months, and fewer apartments
to choose from means prices are likely to go up. Cities including
Indianapolis, Birmingham, Columbus, Kansas City, Cleveland, and Rochester are among the more affordable metros
that experienced the fastest year-over-year price increases in
January 2023, leaving few metros that
are maintaining their current level of affordability."
Many of these areas also have less rental availability than in
past years, suggesting that affordable metros are increasing in
popularity. For example, in the fourth quarter of 2022, the average
rental vacancy rate across these least expensive markets was 7.6% —
a significant drop from the 9.7% vacancy rate in the fourth quarter
2017. However, seven of the most-affordable areas still had greater
vacancy rates than the country's average, which was last tracked at
5.8% nationwide.
Nationwide, rent growth for studio to two-bedroom properties
continued to slow. Median rent was down 2.9% year-over-year, the
lowest growth rate in 22 months. In comparison, January 2022 rent was up 16.2% from the year
prior.
Last month was the twelfth month of cooling rent growth and the
sixth month in a row with a single-digit rate increase. The median
asking rent in the 50 largest metros declined to $1,726, down by $7
from last month and $80 less than the
August 2022 peak of $1,806. Yet, rental prices are still up 20.6%
($295 higher) from pre-pandemic
January 2020.
Rental Data – 50 Largest Metropolitan Areas – January 2023
Metro
|
Overall Median
Rent
|
Overall Rent
YY
|
Rental Vacancy
Rate
|
Homeownership
Rate
|
Atlanta-Sandy
Springs-Roswell, Ga.
|
$1,835
|
-0.9 %
|
5.4 %
|
59.9 %
|
Austin-Round Rock,
Texas
|
$1,666
|
-1.4 %
|
4.9 %
|
64.6 %
|
Baltimore-Columbia-Towson, Md.
|
$1,733
|
0.4 %
|
6.9 %
|
72.1 %
|
Birmingham-Hoover,
Ala.
|
$1,178
|
8.8 %
|
13.2 %
|
71.0 %
|
Boston-Cambridge-Newton, Mass.-N.H.
|
$2,850
|
4.6 %
|
3.1 %
|
60.7 %
|
Buffalo-Cheektowaga-Niagara Falls, N.Y.
|
NA
|
NA
|
3.8 %
|
66.8 %
|
Charlotte-Concord-Gastonia, N.C.-S.C.
|
$1,644
|
3.1 %
|
3.4 %
|
60.3 %
|
Chicago-Naperville-Elgin, Ill.-Ind.-Wisc.
|
$1,965
|
4.8 %
|
5.8 %
|
68.9 %
|
Cincinnati,
Ohio-Ky.-Ind.
|
$1,312
|
5.7 %
|
7.9 %
|
65.2 %
|
Cleveland-Elyria,
Ohio
|
$1,290
|
7.1 %
|
3.1 %
|
61.8 %
|
Columbus,
Ohio
|
$1,242
|
8.3 %
|
4.2 %
|
58.6 %
|
Dallas-Fort
Worth-Arlington, Texas
|
$1,610
|
2.6 %
|
6.7 %
|
56.9 %
|
Denver-Aurora-Lakewood,
Colo.
|
$1,874
|
1.2 %
|
4.8 %
|
67.7 %
|
Detroit-Warren-Dearborn, Mich.
|
$1,329
|
3.0 %
|
4.4 %
|
71.0 %
|
Hartford-West
Hartford-East Hartford, Conn.
|
NA
|
NA
|
4.4 %
|
67.9 %
|
Houston-The
Woodlands-Sugar Land, Texas
|
$1,453
|
2.3 %
|
10.5 %
|
66.7 %
|
Indianapolis-Carmel-Anderson, Ind.
|
$1,266
|
10.5 %
|
9.8 %
|
71.6 %
|
Jacksonville,
Fla.
|
NA
|
NA
|
7.4 %
|
63.5 %
|
Kansas City,
Mo.-Kan.
|
$1,298
|
8.2 %
|
8.9 %
|
66.4 %
|
Las
Vegas-Henderson-Paradise, Nev.
|
$1,509
|
-6.2 %
|
6.1 %
|
60.2 %
|
Los Angeles-Long
Beach-Anaheim, Calif.
|
$2,632
|
4.0 %
|
3.3 %
|
50.2 %
|
Louisville/Jefferson County,
Ky.-Ind.
|
$1,167
|
1.8 %
|
5.9 %
|
70.4 %
|
Memphis,
Tenn.-Miss.-Ark.
|
$1,274
|
-0.1 %
|
6.7 %
|
61.3 %
|
Miami-Fort
Lauderdale-West Palm Beach, Fla.
|
$2,559
|
4.8 %
|
6.0 %
|
57.1 %
|
Milwaukee-Waukesha-West
Allis, Wisc.
|
$1,415
|
8.6 %
|
7.2 %
|
50.5 %
|
Minneapolis-St.
Paul-Bloomington, Minn.-Wisc.
|
$1,452
|
3.3 %
|
6.8 %
|
75.8 %
|
Nashville-Davidson–Murfreesboro–Franklin,
Tenn.
|
$1,672
|
0.7 %
|
5.5 %
|
67.6 %
|
New Orleans-Metairie,
La.
|
$1,671
|
-3.8 %
|
8.2 %
|
67.9 %
|
New York-Newark-Jersey
City, N.Y.-N.J.-Pa.
|
$2,730
|
9.4 %
|
3.1 %
|
50.1 %
|
Oklahoma City,
Okla.
|
$982
|
5.2 %
|
12.5 %
|
65.2 %
|
Orlando-Kissimmee-Sanford, Fla.
|
$1,932
|
3.8 %
|
6.4 %
|
59.3 %
|
Philadelphia-Camden-Wilmington,
Penn.-N.J.-Del.-Md.
|
$1,803
|
5.4 %
|
5.3 %
|
69.9 %
|
Phoenix-Mesa-Scottsdale, Ariz.
|
$1,593
|
-3.4 %
|
7.0 %
|
67.2 %
|
Pittsburgh,
Penn.
|
$1,346
|
5.3 %
|
5.5 %
|
72.6 %
|
Portland-Vancouver-Hillsboro, Ore.-Wash.
|
$1,685
|
6.1 %
|
4.8 %
|
65.9 %
|
Providence-Warwick,
R.I.-Mass.
|
NA
|
NA
|
3.8 %
|
64.8 %
|
Raleigh,
N.C.
|
$1,582
|
2.6 %
|
6.0 %
|
62.3 %
|
Richmond,
Va.
|
$1,446
|
3.1 %
|
5.7 %
|
68.5 %
|
Riverside-San
Bernardino-Ontario, Calif.
|
$2,114
|
2.1 %
|
2.9 %
|
63.9 %
|
Rochester,
N.Y.
|
$1,235
|
6.2 %
|
3.7 %
|
74.8 %
|
Sacramento–Roseville–Arden-Arcade, Calif.
|
$1,829
|
-3.6 %
|
2.5 %
|
61.5 %
|
San Antonio-New
Braunfels, Texas
|
$1,377
|
2.2 %
|
7.2 %
|
60.6 %
|
San Diego-Carlsbad,
Calif.
|
$2,666
|
2.9 %
|
3.2 %
|
54.1 %
|
San
Francisco-Oakland-Hayward, Calif.
|
$2,809
|
0.7 %
|
5.5 %
|
59.1 %
|
San
Jose-Sunnyvale-Santa Clara, Calif.
|
$3,005
|
2.9 %
|
5.6 %
|
54.8 %
|
Seattle-Tacoma-Bellevue, Wash.
|
$2,008
|
0.8 %
|
4.7 %
|
66.3 %
|
St. Louis,
Mo.-Ill.
|
$1,279
|
4.7 %
|
8.2 %
|
71.9 %
|
Tampa-St.
Petersburg-Clearwater, Fla.
|
$1,873
|
2.0 %
|
7.5 %
|
63.1 %
|
Virginia
Beach-Norfolk-Newport News, Va.-N.C.
|
$1,497
|
5.2 %
|
8.3 %
|
61.2 %
|
Washington-Arlington-Alexandria,
D.C.-Va.-Md.-W.V.
|
$2,103
|
3.3 %
|
5.2 %
|
64.4 %
|
Methodology
Rental data as of January for studio,
1-bedroom, or 2-bedroom units advertised as for-rent on
Realtor.com®. Rental units include apartments as well as
private rentals (condos, townhomes, single-family homes). We use
rental sources that reliably report data each month within the top
50 largest metropolitan areas. Realtor.com® began
publishing regular monthly rental trends reports in October 2020 with data history stretching
back to March 2019.
With the release of its January rent report,
Realtor.com® incorporated a new and improved methodology
for capturing and reporting more comprehensive rental listing
trends and metrics. The new methodology is expected to yield a
cleaner, more representative and more consistent measurement of
rental listings and trends at both the national and local level.
The methodology has been adjusted to better represent the true cost
of primary housing for renters. Most areas across the country will
see minor changes with a smaller handful of areas seeing larger
updates. As a result of these changes, the rental data
released since January 2023 will not
be directly comparable with previous releases and
Realtor.com® economics blog posts. However, future data
releases, including historical data, will consistently apply the
new methodology.
About Realtor.com®
Realtor.com®
is an open real estate marketplace built for everyone.
Realtor.com® pioneered the world of digital real estate
more than 25 years ago. Today, through its website and mobile apps,
Realtor.com® is a trusted guide for consumers,
empowering more people to find their way home by breaking down
barriers, helping them make the right connections, and creating
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Realtor.com® is a trusted partner for business growth,
offering consumer connections and branding solutions that help them
succeed in today's on-demand world. Realtor.com® is
operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV]
subsidiary Move, Inc. For more information, visit
Realtor.com®.
Media Contact
press@realtor.com
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