Story at a glance
- Hartford, Conn., has the fastest-growing rents among the country’s major housing markets, according to data from Zillow.
- Cleveland, Ohio, and Louisville, Ky., placed second and third on the list, respectively.
- The rent increases can partly be attributed to remote work.
(NewsNation) — While New York City is still the most expensive rental market in the country, the fastest-growing rents are in places you might not expect.
New data from Zillow shows rents are up 7.8% in Hartford, Connecticut, over the past year, more than any other major market. Cleveland (7.2%), Louisville (6.8%) and Providence (6.3%) have also seen rents increase faster than the national average (3.5%). Milwaukee (5.7%) rounds out the top five.
Part of the rise can be attributed to remote work, which has allowed renters to live in more affordable areas further away from their jobs.
“Commuting intoNew York CityorBostonfrom places likeHartfordorProvidencemight have been a deterrent before, but in this new age of remote and hybrid work, the savings seem worth it for many renters, even if it means an occasional painful commute,” Skylar Olsen, chief economist at Zillow, said in a statement.
Research has shown the share of “super-commutes,” those 75 miles or longer, is up by nearly a third since the start of the pandemic — an indication employees are willing to live further away if they’re making fewer trips to the office.
Nationally, the typical rent is now$2,054, according to the Zillow Observed Rent Index. That’s up 3.5% from last year and the fastest annual growth since last July.
It’s not uncommon for the rental market to heat up in the summer but high mortgage rates and record home prices are forcing more people to rent for longer, putting upward pressure on rents.
New York Cityis the most expensive rental market with a typical rent of$3,472across the metro area, up 3.8% from a year ago, according to Zillow. The other cities in the top five are mostly in California: San Jose ($3,429), Boston ($3,127), San Francisco ($3,119) and San Diego ($3,083).
Only two major metros in Zillow’s report saw rents fall over the past year: Austin (-3.0%) and San Antonio, Texas (-0.1%).
Ten U.S. metros with the fastest-growing rents over the past year, according to Zillow:
- Hartford, CT – 7.8%
- Cleveland, OH – 7.2%
- Louisville, KY – 6.8%
- Providence, RI – 6.3%
- Milwaukee, WI – 5.7%
- Kansas City, MO – 5.5%
- Buffalo, NY – 5.4%
- Richmond, VA – 5.4%
- Virginia Beach, VA – 5.3%
- Detroit, MI – 5.2%
Ten U.S. metros with the most expensive rent as of June 2024, according to Zillow:
- New York City, NY – $3,472
- San Jose, CA – $3,429
- Boston, MA – $3,127
- San Francisco, CA – $3,119
- San Diego, CA – $3,083
- Los Angeles, CA – $2,975
- Miami, FL – $2,813
- Riverside, CA – $2,560
- Washington, D.C. – $2,455
- Sacramento, CA – $2,321
Copyright 2024 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
FAQs
New data from Zillow shows rents are up 7.8% in Hartford, Connecticut, over the past year, more than any other major market. Cleveland (7.2%), Louisville (6.8%) and Providence (6.3%) have also seen rents increase faster than the national average (3.5%). Milwaukee (5.7%) rounds out the top five.
Where are rents rising fastest? ›
New York City has the highest rent at $3,393.
This is a 3.6% increase over the last year when rent averaged $3,273. Over the last five years, rent has grown a cumulative 19.3% in New York City. Rent is nearly as high in Boston, MA ($3,359); Irvine, CA ($3,335); San Francisco, CA ($3,276) and San Jose, CA ($3,107).
Where has rent increased the most in the US? ›
Asking rents for one- and two-bedroom apartments are up more than 10% in some large U.S. cities since June 2023, according to Zumper. They include Syracuse, New York; Lincoln, Nebraska; Chicago; Buffalo, New York; Madison, Wisconsin; Rochester, New York; and New York City.
Which city typically has the highest rents? ›
New York tops the list with an average monthly cost of $4,200 for a one-bedroom apartment.
Where have rents gone up the most? ›
Rents for new lets have increased by 11.1% in January 2023 compared to the same month a year before. This figure varies greatly across the UK, with London rents increasing by 15.2%, while those in Northern Ireland increased by 5.7%.
What state has the highest rent? ›
Hawaii ranked as the state with the highest average rent, according to doxo. In a separate 2023 doxo report, Hawaii was also determined to be the most expensive U.S. state based on the average cost of household bills.
Where is the fastest growing housing market in the US? ›
Data and Highlights
| City | 10-Yr Housing Stock Growth (%) | Population in 2022 |
|---|
| Fulshear, TX | 1138% | 21,552 |
| Woodbridge, VA | 692% | 42,619 |
| Nocatee, FL | 382% | 22,950 |
| Niskayuna, NY | 368% | 20,629 |
6 more rowsJul 29, 2024
As of 2019, about 182 U.S. municipalities had rent control: 99 in New Jersey, 63 in New York, 18 in California, one in Maryland, and Washington, D.C. The five most populous cities with rent control are New York City; Los Angeles; San Francisco; Oakland; and Washington, D.C. The sole Maryland municipality with rent ...
Which city has the highest rental? ›
Bengaluru tops rental yields - Which city in India has the highest rental yield | The Economic Times.
What is the average rent in the US? ›
What is the average rent in the United States? The average rent in the United States is $1,564/month. This is +0.9% higher than this time last year. The states with the largest rent increases when compared to last year include Wyoming, Vermont, and Virginia.
Vancouver remains the most expensive city in the country for renters, with a one-bedroom apartment costing an average of $2,700. Despite astronomical costs, Vancouver is the only city in the top 10 that saw a decline in annual rent prices, dropping -2.5% over last year.
What is the most expensive city to live in in the United States? ›
New York City is home to 350,000 millionaires — the most in the country — with many of them living in Manhattan. The concentration of wealth has also driven up home prices, which is part of the reason Manhattan is home to some of the most expensive U.S. neighborhoods based on square footage.
What city has the highest rent in 2024? ›
Most Expensive Cities for Renters in 2024
- New York, NY – $4,340 for 1-bedroom.
- Jersey City, NJ – $3,275 for 1-bedroom.
- Boston, MA – $2,795 for 1-bedroom.
- San Francisco, CA – $2,995 for 1-bedroom.
- Miami, FL – $2,800 for 1-bedroom.
New York, San Jose and Boston are the most expensive rental markets. The fastest-growing rents are in more affordable markets in the Northeast and Midwest, led by Hartford and Cleveland. Nationally, rents are up 3.5% year over year, the fastest annual growth since last July.
Why is rent so high in the US right now? ›
The fast growth of rent costs since 2020 derives from a variety of factors, including: Inflation. Higher costs across the board mean landlords pass on higher costs (such as rising wages for maintenance workers or repair costs) to renters. Higher rent costs contribute to inflation and the cycle repeats.
Where are the most renters in the US? ›
The place home to the most tenured renters is New York City. The Big Apple has 5,188 long-term renters per 100,000. San Francisco ranks #2, followed by Los Angeles, Boston, and Washington D.C.
Which US city has the highest rental yield? ›
Current Gross Rental Yield City Centre by City
| Rank | City | Gross Rental Yield City Centre |
|---|
| 1 | Detroit, MI, United States | 28.8 |
| 2 | Rochester, NY, United States | 23.5 |
| 3 | Milwaukee, WI, United States | 20.0 |
| 4 | Baltimore, MD, United States | 18.5 |
157 more rowsMost & Least Expensive Large Metros for Renters
| Top Metros | Median Rent |
|---|
| 1. San Jose-Sunnyvale-Santa Clara, CA | $3,451 |
| 2. San Diego-Chula Vista-Carlsbad, CA | $3,175 |
| 3. San Francisco-Oakland-Berkeley, CA | $3,141 |
| 4. Los Angeles-Long Beach-Anaheim, CA | $2,777 |
11 more rowsNov 20, 2023
Oakland led Zumper's list of annual rent declines in California cities, with the cost to rent for a one-bedroom unit in the Bay Area community down 9.1% in 2024 compared to the past year. Sacramento took second place with a decrease of 8.1%, followed by Los Angeles in third place with 5%.
What state has the cheapest rent? ›
The cheapest rent prices could be found in West Virginia ($795), Arkansas ($846), North Dakota ($863), South Dakota ($866), Mississippi ($873), Iowa and Kentucky ($891), Wyoming ($895), Alabama ($913) and Oklahoma ($937).
