Midwest Sees Stiff Competition For Renting Apartments

The Midwest emerged as the most competitive region for renting apartments in 2023, with three of its markets securing spots in the top five nationwide.

While rental competitiveness in most of the U.S. is softening, the Midwest is defying the trend because of its lower cost of living, spacious living spaces that are conducive to remote work and access to outdoor activities, according to a report from RentCafe.

Thanks to the Rise of the Rest fund created last year by AOL founder Steve Case to encourage entrepreneurship and innovation away from the East and West coasts, America's heartland has seen thousands of startups created in recent years.

While the Midwest is competitive, Miami was the hottest rental market in the U.S. in 2023. Entrepreneurs from around the world are attracted to the metro area's tech scene, which is driving competition for rental apartments. The city also has a business-friendly climate and offers incentives to drive growth. Florida residents don't pay income taxes, which makes it even more attractive.

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The number of apartments for rent in Miami is up 3.7% since January, but the new units were still not adequate to meet rental demand in 2023, and 22 applicants were vying for each vacant unit — more than double the national average.

Top 10 Most Competitive Rental Markets In 2023

Rank	Market	Average Vacant Days	Occupancy Rate	Prospective Renters	Lease Renewal Rate
1	Miami-Dade County, Fla.	31	96.9%	22	71.2%
2	North Jersey, N.J.	34	96.3%	14	70.5%
3	Milwaukee, Wis.	33	95.8%	14	69.6%
4	Grand Rapids, Mich.	34	95.5%	10	69.9%
5	Suburban Chicago, Ill.	35	95.3%	14	66.7%
6	Omaha, Neb.	28	96%	13	63.9%
7	Broward County, Fla.	37	95.3%	13	66.4%
8	Suburban Philadelphia, Penn.	41	94.7%	11	75.4%
9	Brooklyn, N.Y.	38	96.1%	9	64.6%
10	Central Jersey, N.J.	46	95.9%	9	83.5%

Source: RentCafe

With the deluge of new apartments that hit the market in the last few years, the number of days they remained on the market increased from 32 in 2022 to 38 in 2023. About 94% of apartments nationwide were occupied, down from 95.3% in 2022.

Rank	Market	Average Vacant Days	Occupancy Rate	Prospective Renters	Lease Renewal Rate
1	Miami-Dade County, Fla.	31	96.9%	22	71.2%
2	North Jersey, N.J.	34	96.3%	14	70.5%
3	Milwaukee, Wis.	33	95.8%	14	69.6%
4	Grand Rapids, Mich.	34	95.5%	10	69.9%
5	Suburban Chicago, Ill.	35	95.3%	14	66.7%
6	Omaha, Neb.	28	96%	13	63.9%
7	Broward County, Fla.	37	95.3%	13	66.4%
8	Suburban Philadelphia, Penn.	41	94.7%	11	75.4%
9	Brooklyn, N.Y.	38	96.1%	9	64.6%
10	Central Jersey, N.J.	46	95.9%	9	83.5%

Source: RentCafe

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