Rents are growing fastest in unexpected places, led by Hartford and Cleveland
PRNewswire 10-Jul-2024 8:00 AM
Rents are still most expensive in large coastal markets, but they are growing fastest in smaller markets in the Northeast and Midwest
- 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.
SEATTLE, July 10, 2024 /PRNewswire/ -- While rents are most expensive in large coastal markets like New York City, the San Francisco Bay Area and Boston, the fastest-growing rents are in unexpected places. New data from Zillow® shows rents are growing faster in Hartford than any other major market, and Cleveland and Louisville aren't far behind.
"More people move during the summer, which causes the rental market to heat up," said Skylar Olsen, chief economist at Zillow. "Renters are being drawn to more affordable areas within the Northeast and Midwest. Commuting into New York City or Boston from places like Hartford or Providence might 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."
Rents have grown 7.8% over the past year in Hartford, more than any other major market. Cleveland (7.2%), Louisville (6.8%), Providence (6.3%) and Milwaukee (5.7%) round out the top five.
The typical rent eclipses $3,000 in a few coastal markets. New York City is the most expensive rental market with a typical rent of $3,472 across the metro area, according to the Zillow Observed Rent Index (ZORI), while StreetEasy® data shows the median asking rent is $4,400 in Manhattan. Coming in just behind is the San Jose metro area with a typical rent of $3,429, followed by Boston ($3,127), San Francisco ($3,119) and San Diego ($3,083). Los Angeles, with a typical asking rent of $2,975, could join that list later this summer if the current pace of rent growth holds.
Nationally, the typical rent is $2,054, according to ZORI. That is up 3.5% from last year, the fastest annual growth since last July.
Metropolitan Area*
| Typical Rent (Zillow
Observed Rent Index –
ZORI)
| ZORI Month over
Month Change
| ZORI Year over Year
Change
|
United States
| $2,054
| 0.5 %
| 3.5 %
|
New York, NY
| $3,472
| 0.9 %
| 3.8 %
|
Los Angeles, CA
| $2,975
| 0.5 %
| 2.7 %
|
Chicago, IL
| $2,118
| 0.9 %
| 5.0 %
|
Dallas, TX
| $1,822
| 0.4 %
| 0.2 %
|
Houston, TX
| $1,730
| 0.6 %
| 2.2 %
|
Washington, DC
| $2,455
| 0.8 %
| 5.0 %
|
Philadelphia, PA
| $1,898
| 0.5 %
| 4.0 %
|
Miami, FL
| $2,813
| 0.2 %
| 2.4 %
|
Atlanta, GA
| $1,951
| 0.4 %
| 0.9 %
|
Boston, MA
| $3,127
| 0.5 %
| 4.6 %
|
Phoenix, AZ
| $1,889
| 0.0 %
| 1.1 %
|
San Francisco, CA
| $3,119
| 0.5 %
| 1.6 %
|
Riverside, CA
| $2,560
| 0.2 %
| 3.0 %
|
Detroit, MI
| $1,480
| 0.6 %
| 5.2 %
|
Seattle, WA
| $2,283
| 0.7 %
| 3.9 %
|
Minneapolis, MN
| $1,678
| 0.3 %
| 3.0 %
|
San Diego, CA
| $3,083
| 0.6 %
| 1.8 %
|
Tampa, FL
| $2,114
| 0.1 %
| 1.5 %
|
Denver, CO
| $2,090
| 0.4 %
| 2.4 %
|
Baltimore, MD
| $1,871
| 0.8 %
| 3.4 %
|
St. Louis, MO
| $1,423
| 0.8 %
| 4.9 %
|
Orlando, FL
| $2,098
| 0.5 %
| 1.1 %
|
Charlotte, NC
| $1,815
| 0.7 %
| 1.2 %
|
San Antonio, TX
| $1,503
| 0.2 %
| -0.1 %
|
Portland, OR
| $1,876
| 0.9 %
| 2.6 %
|
Sacramento, CA
| $2,321
| 0.4 %
| 3.7 %
|
Pittsburgh, PA
| $1,473
| 1.0 %
| 4.4 %
|
Cincinnati, OH
| $1,542
| 0.6 %
| 5.2 %
|
Austin, TX
| $1,839
| 0.2 %
| -3.0 %
|
Las Vegas, NV
| $1,826
| 0.7 %
| 3.0 %
|
Kansas City, MO
| $1,482
| 0.8 %
| 5.5 %
|
Columbus, OH
| $1,559
| 1.2 %
| 4.7 %
|
Indianapolis, IN
| $1,589
| 0.4 %
| 4.0 %
|
Cleveland, OH
| $1,447
| 1.1 %
| 7.2 %
|
San Jose, CA
| $3,429
| 1.0 %
| 3.0 %
|
Nashville, TN
| $1,940
| 0.6 %
| 1.2 %
|
Virginia Beach, VA
| $1,771
| 0.6 %
| 5.3 %
|
Providence, RI
| $2,118
| 0.5 %
| 6.3 %
|
Jacksonville, FL
| $1,768
| 0.1 %
| 0.8 %
|
Milwaukee, WI
| $1,394
| 0.6 %
| 5.7 %
|
Oklahoma City, OK
| $1,358
| 0.7 %
| 3.1 %
|
Raleigh, NC
| $1,793
| 0.6 %
| 0.4 %
|
Memphis, TN
| $1,477
| 0.5 %
| 2.7 %
|
Richmond, VA
| $1,689
| 1.2 %
| 5.4 %
|
Louisville, KY
| $1,417
| 0.6 %
| 6.8 %
|
New Orleans, LA
| $1,685
| 0.3 %
| 2.9 %
|
Salt Lake City, UT
| $1,729
| 0.8 %
| 1.9 %
|
Hartford, CT
| $1,871
| 1.1 %
| 7.8 %
|
Buffalo, NY
| $1,379
| 0.2 %
| 5.4 %
|
Birmingham, AL
| $1,419
| 0.5 %
| 3.1 %
|
*Table ordered by market size
About Zillow Group
Zillow Group, Inc. (NASDAQ:Z) is reimagining real estate to make home a reality for more and more people. As the most visited real estate website in the United States, Zillow and its affiliates help people find and get the home they want by connecting them with digital solutions, dedicated partners and agents, and easier buying, selling, financing and renting experiences.
Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans?, Trulia®, Out East®, StreetEasy®, HotPads®, ShowingTime+?, Spruce® and Follow Up Boss®.
All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 20234 MFTB Holdco, Inc., a Zillow affiliate.
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SOURCE Zillow
