The median asking rent in the U.S. increased 7.8% annually in October to $1,983, the smallest increase in 14 months.
Following over a year of double-digit price hikes in the rental market, October saw the second consecutive month of rent growth in the single digits.
Additionally, yearly rent growth slowed for the fifth consecutive month, with rentals rising at a rate that was roughly half that of six months prior. Monthly changes in rent were down 0.9%.
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According to Redfin Corp RDFN data, rents declined in 11 Major U.S. metro markets.
Milwaukee registered the steepest decline, with rents falling 17.6% year over year in October.
- Milwaukee, Wisconsin (-17.6%)
- Minneapolis, Minnesota (-7.8%)
- Baltimore, Maryland (-3.2%)
- Seattle, Washington (-2.7%)
- Boston, Massachusetts (-2.5%)
- Austin, Texas (-2.3%)
- Atlanta, Georgia (-2.2%)
- Columbus, Ohio (-1.7%)
- Los Angeles, California (-1.1%)
- Chicago, Illinois (-1.1%)
- Houston, Texas (-0.8%)
“Demand for rentals is slowing because economic uncertainty is prompting many renters to stay put, and persistent inflation is shrinking renter budgets. That’s causing rent growth to cool,” said Redfin Deputy Chief Economist Taylor Marr.
Though, rents rose in ten areas.
Oklahoma City registered the highest jump, with rents climbing 31.7% year over year in October.
- Oklahoma City, Oklahoma (31.7%)
- Raleigh, North Carolina (21.0%)
- Cincinnati, Ohio (17.0%)
- Louisville, Kentucky (15.8%)
- Indianapolis, Indiana (15.1%)
- Providence, Rhode Island (13.6%)
- Salt Lake City, Utah (13.6%)
- Nashville, Tennessee (13.2%)
- Pittsburgh, Pennsylvania (12.8%)
- San Antonio, Texas (10.6%)
“There are signs that inflation is starting to ease, but it will likely be a while before renters see meaningful relief given that rents are still up more than wages,” Marr said.
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