It’s never been a smarter time to rent instead of buying a home — especially in these 32 US cities where landlords’ asking prices are plummeting back to earth
- Renting an apartment is much cheaper than buying a home, according to a new report.
- The median going rate for a US apartment fell from the prior month in November.
- Here are 32 cities where rent is at least 3% lower now than in 2022.
Although home prices in the United States are finally falling, prospective buyers should think twice before bidding on the home of their dreams.
According to new research from online rental platform Zumper, buying a home has never been more expensive in comparison to renting. Contrary to popular belief, the firm discovered that homebuyers spend 52% more per month than renters, a record high.
There are several explanations for the widening gap, including rising mortgage rates, which make purchasing a home much more expensive, and a steady increase in the supply of new apartments, which reduces demand.
Rent fell for the second month in a row in November, to a median of $1,499 for a one-bedroom apartment and $1,856 for a two-bedroom apartment, according to Zumper’s national rent report. These national median figures were down 0.4% and 0.3%, respectively, from October.
“As inflation eases, migrations slow and a record number of multifamily buildings come online, renters find themselves in a much less stressful situation than a year ago,” the authors of the report said. “They have more options and less competition, and prices continue to soften in many markets.”
According to Zumper, rent increased at the slowest year-over-year rate this month since December 2020. The average price for a one-bedroom apartment was 0.5% higher than last year, but it is still well below the peak of over 9% in late 2022. Rent for two-bedroom apartments increased by 0.9%.
Landlords can no longer easily gouge tenants with high rents, as they could during the pandemic, but they can no longer do so. Instead, they are offering discounts to keep tenants from leaving. In November, Zumper discovered that nearly 10,000 buildings on its platform offered special rent deals.
32 cities where rent is down meaningfully
Fortunately for renters, declines in asking prices for apartments are both significant and widespread.
In November, half of the 100 largest US cities saw rent decreases from the previous year, while 60 markets saw prices fall from the previous month. The drops were most noticeable in southern Sun Belt cities after the region exploded in the early 2020s.
“We’re seeing most major markets settle into their new resting heart rates,” Zumper CEO Anthemos Georgiades said in a report statement.
According to Zumper, the median rent for a one-bedroom setup is at least 3% lower now than it was in 2022 in the 32 cities listed below. Each metropolitan area’s year-over-year and month-over-month rent changes, average rent price, and national rent ranking among the top 100 US cities are included.
1. Greensboro, North Carolina
Year-over-year rent change: -17.3%
Month-over-month rent change: -4.2%
Average rent: $910
National rent ranking: 90
Source: Zumper
2. Irving, Texas
iStock / Getty Images Plus
Year-over-year rent change: -14.3%
Month-over-month rent change: -0.8%
Average rent: $1,260
National rent ranking: 61
Source: Zumper
3. Winston Salem, North Carolina
Year-over-year rent change: -13.5%
Month-over-month rent change: -1.1%
Average rent: $900
National rent ranking: 91
Source: Zumper
4. Memphis, Tennessee
Year-over-year rent change: -12.7%
Month-over-month rent change: -5.3%
Average rent: $890
National rent ranking: 92
Source: Zumper
Advertisement
5. St. Louis, Missouri
Year-over-year rent change: -11.9%
Month-over-month rent change: 2.3%
Average rent: $890
National rent ranking: 92
Source: Zumper
6. Austin, Texas
Year-over-year rent change: -9.5%
Month-over-month rent change: -1.9%
Average rent: $1,520
National rent ranking: 30
Source: Zumper
7. San Antonio, Texas
Year-over-year rent change: -9.5%
Month-over-month rent change: 1%
Average rent: $1,050
National rent ranking: 77
Source: Zumper
8. Scottsdale, Arizona
Year-over-year rent change: -8.9%
Month-over-month rent change: -0.6%
Average rent: $1,730
National rent ranking: 23
Source: Zumper
9. Glendale, Arizona
Year-over-year rent change: -8.1%
Month-over-month rent change: -3.1%
Average rent: $1,240
National rent ranking: 65
Source: Zumper
10. Portland, Oregon
Year-over-year rent change: -7.8%
Month-over-month rent change: -2.7%
Average rent: $1,420
National rent ranking: 41
Source: Zumper
11. Boise, Idaho
Year-over-year rent change: -7.6%
Month-over-month rent change: 1.5%
Average rent: $1,330
National rent ranking: 48
Source: Zumper
12. Augusta, Georgia
Year-over-year rent change: -7.5%
Month-over-month rent change: 2.4%
Average rent: $860
National rent ranking: 95
Source: Zumper
13. Salt Lake City, Utah
Year-over-year rent change: -7.4%
Month-over-month rent change: -1.6%
Average rent: $1,250
National rent ranking: 62
Source: Zumper
14. Orlando, Florida
Year-over-year rent change: -7.1%
Month-over-month rent change: 0.6%
Average rent: $1,570
National rent ranking: 29
Source: Zumper
15. Colorado Springs, Colorado
Year-over-year rent change: -6.5%
Month-over-month rent change: -3.4%
Average rent: $1,150
National rent ranking: 68
Source: Zumper
16. Richmond, Virginia
Richmond, Virginia.
Sean Pavone/Shutterstock
Year-over-year rent change: -6.4%
Month-over-month rent change: 0.8%
Average rent: $1,310
National rent ranking: 50
Source: Zumper
17. Oakland, California
Year-over-year rent change: -6.3%
Month-over-month rent change: -2.3%
Average rent: $2,090
National rent ranking: 11
Source: Zumper
18. Bakersfield, California
Year-over-year rent change: -6.3%
Month-over-month rent change: 1%
Average rent: $1,050
National rent ranking: 77
Source: Zumper
19. Mesa, Arizona
Year-over-year rent change: -5.9%
Month-over-month rent change: -1.5%
Average rent: $1,280
National rent ranking: 57
Source: Zumper
20. Lincoln, Nebraska
Year-over-year rent change: -5.9%
Month-over-month rent change: 3.9%
Average rent: $800
National rent ranking: 97
Source: Zumper
21. Fort Lauderdale, Florida
Year-over-year rent change: -5.7%
Month-over-month rent change: -1.5%
Average rent: $2,000
National rent ranking: 15
Source: Zumper
22. St. Petersburg, Florida
Year-over-year rent change: -5.2%
Month-over-month rent change: -3.3%
Average rent: $1,450
National rent ranking: 36
Source: Zumper
23. Las Vegas, Nevada
Year-over-year rent change: -4.6%
Month-over-month rent change: -0.8%
Average rent: $1,240
National rent ranking: 65
Source: Zumper
24. Detroit, Michigan
Year-over-year rent change: -4.5%
Month-over-month rent change: 0%
Average rent: $1,050
National rent ranking: 77
Source: Zumper
25. Reno, Nevada
Year-over-year rent change: -4.4%
Month-over-month rent change: 0%
Average rent: $1,300
National rent ranking: 53
Source: Zumper
26. Phoenix, Arizona
Year-over-year rent change: -4.3%
Month-over-month rent change: -1.5%
Average rent: $1,330
National rent ranking: 48
Source: Zumper
27. Wichita, Kansas
Year-over-year rent change: -4.2%
Month-over-month rent change: 4.6%
Average rent: $680
National rent ranking: 100
Source: Zumper
28. San Diego, California
Year-over-year rent change: -4%
Month-over-month rent change: -1.2%
Average rent: $2,400
National rent ranking: 7
Source: Zumper
29. Sacramento, California
Year-over-year rent change: -3.8%
Month-over-month rent change: 2.7%
Average rent: $1,500
National rent ranking: 32
Source: Zumper
30. Henderson, Nevada
Year-over-year rent change: -3.4%
Month-over-month rent change: 0.7%
Average rent: $1,440
National rent ranking: 39
Source: Zumper
31. Tampa, Florida
Year-over-year rent change: -3%
Month-over-month rent change: -3%
Average rent: $1,600
National rent ranking: 27
Source: Zumper
32. Houston, Texas
Year-over-year rent change: -3%
Month-over-month rent change: 1.6%
Average rent: $1,300
National rent ranking: 53
Source: Zumper
