Realtor.com® April Rental Report: National Rents Hit their 14th Straight Month of Record-Highs

Rhea-AI Summary

Realtor.com's Avail Quarterly Survey reveals that 66.1% of renters cite rising rents as their primary financial strain, while 76.1% report saving less than last year. In April, the U.S. median rental price reached $1,827, marking a 16.7% increase from 2021, driven by high demand and limited availability. Landlords plan further rent hikes, which may exacerbate affordability challenges. With typical rents expected to exceed $2,000 by August, renters are increasingly considering moves to more affordable options, though choices are limited. Major urban areas, especially in the Sun Belt, saw significant rent increases.

Positive

• U.S. median rental price reached $1,827, a 16.7% increase year-over-year.
• Despite a slight moderation in annual growth, rents continued to rise at a double-digit pace.
• Major urban areas, particularly in the Sun Belt, experienced significant rental price increases.

Negative

• 66.1% of renters report rising rents as their top financial strain.
• 76.1% of renters are saving less compared to the previous year.
• Landlords plan to increase rents, potentially worsening affordability issues.
• Limited affordable rental options force many renters to consider moving.

The majority of renters report that rental costs are their biggest financial strain and barrier to putting aside savings, according to Realtor.com^®'s Avail Quarterly Landlord and Renter Survey

SANTA CLARA, Calif., May 19, 2022 /PRNewswire/ -- New data indicates that rental competition remained relentless in April, as the U.S. median rental price hit a new high ($1,827) for the 14th month in a row, according to the Realtor.com^® Monthly Rental Report released today. These trends spotlight the affordability struggles reported by renters in Realtor.com^®'s Avail Quarterly Landlord and Renter Survey also published today, which found higher rents are increasingly cutting into households' budgets for regular expenses and savings.

"April data illustrates the perfect storm of supply and demand dynamics behind the continued rent surge, from a low number of available rentals to higher for-sale housing costs forcing many would-be buyers to rent for longer than planned," said Realtor.com^® Chief Economist Danielle Hale. "Renters are being left with few options but to meet higher rents and, in some cases, even offer above asking – whether they can afford to or not. Avail's new survey shows rents are not only maxing out renters' housing budgets but are the biggest strain on their overall finances, even as inflation drives up expenses across the board. For renters trying to stay on budget, making a list of must-have features is key and using a tool like the Realtor.com^® Rentals app can help you find (and stick to) your parameters. This will be especially important as, if recent trends continue, we expect the typical U.S. asking rent to eclipse $2,000 by August."

April 2022 Rental Metrics – National

Unit Size	Median Rent	Change over April 2021	Change over April 2020
Overall	$1,827	16.7%	21.0%
Studio	$1,500	17.2%	15.2%
1-bed	$1,679	15.7%	19.9%
2-bed	$2,062	16.0%	23.8%

April rents maintain record-breaking run, despite annual growth cooling slightly
Realtor.com^®'s April data showed national rents maintained their record-breaking run that began in January 2021, despite posting a slightly smaller year-over-year gain than in March. The continued rent surge is attributed to the mismatch between rental supply and rising demand, largely from would-be homebuyers. Some of these aspiring homeowners are staying in the rental market for longer than they may have intended, due to intensifying cost pressures driven by both the longstanding housing supply shortage and more recent inflationary economy. If these trends continue, national asking rents will likely surpass 2022's forecasted year-over-year growth projections (+7.1%) by end of year.

• The U.S. median rental price hit a new high of $1,827 in April, while the annual growth rate (+16.7%) moderated slightly from the March pace (+17.0%). Still, rents continued to rise at a double-digit annual pace, reaching 21.0% higher than in April 2020 right after the onset of COVID.
• Studio rents grew at a faster year-over-year pace (+17.2%) than one-bedrooms (+15.6%) and two-bedrooms (+15.9%). This is largely due to the ongoing rental market comeback in major downtowns where smaller living spaces are common, with studio rents up double-digits over April 2021 in all 10 of the biggest tech hubs, led by: New York City (29.1%), Boston (+27.4%) and Austin, Texas (+25.0%).
• In a potential reflection of shifting migration patterns during the pandemic, the five large markets that posted April's biggest overall rental price gains year-over-year were in the Sun Belt: Miami (+51.6%), Orlando, Fla. (32.9%), Tampa, Fla. (27.8%), San Diego (25.6%) and Las Vegas (24.8%).

Avail survey finds renters are struggling to keep up with rising costs
With rental demand on the rise, landlords with limited available units are able to adjust asking rents on both new and renewing leases to reflect the increasingly competitive market. In fact, the majority of landlords surveyed by Realtor.com^®'s Avail reported plans to increase rental prices within the next 12 months. This could mean further rental affordability challenges, with many surveyed renters already feeling the squeeze on their finances and savings, as inflation drives up the cost of everything from rent to regular household expenses.

• Among renters surveyed in April, 66.1% said higher rents and related household costs are their top cause of financial strain – ahead of other expenses like food and groceries (57.3%) and auto and transportation (50.8%).
• Higher rents are also limiting renters' ability to save, with more than three-quarters of renters (76.1%) saving less each month than at the same time last year. The typical household surveyed reported being able to save just $50 each month.
• Of respondents whose rents have gone up on their current unit, 72.9% are considering a move to a more affordable rental. However, lower-cost options are dwindling, with renters who moved in the past year typically paying higher rents ($350) than they did previously. Those who are staying put are trying to cut costs, most commonly on entertainment (67.1%) and food and groceries (62.3%).
• Additionally, trends among surveyed landlords indicate that renters aren't likely to see relief any time soon. Nearly three-quarters of landlords (72.1%) plan to raise the rent of at least one property this year, up from 65.1% in the January survey.

"Our survey data underscores how renters and landlords alike are feeling the squeeze of inflation and higher costs. For renters in particular, many may understandably feel caught between a rock and a hard place, but remember that there are resources that can help. Doing your research can go a long way in helping you prepare to navigate rent increases and their impact on your family's finances," said Ryan Coon, Avail co-founder and VP of Rentals at Realtor.com^®.

Renters grappling with higher costs can access free financial counseling through the Renter Advantage program, a collaboration between Realtor.com^®'s Avail, the National Foundation for Credit Counseling, the Housing Partnership Network, and Wells Fargo. Learn more here.

April 2022 Rental Metrics – 50 Largest U.S. Metro Areas

Metro Area	Overall Median Rent	Overall Rent YoY	Studio Median Rent	Studio Rent YoY	1-br Median Rent	1-br Rent YoY	2-br Median Rent	2-br Rent YoY
Atlanta-Sandy Springs-Roswell, Ga.	$1,829	16.7%	$1,665	17.9%	$1,700	17.4%	$2,035	17.7%
Austin-Round Rock, Texas	$1,800	24.7%	$1,450	25.0%	$1,652	26.7%	$1,951	18.5%
Baltimore-Columbia-Towson, Md.	$1,800	12.5%	$1,485	12.5%	$1,701	12.1%	$1,900	11.0%
Birmingham-Hoover, Ala.	$1,189	7.8%	$1,073	11.7%	$1,120	7.2%	$1,283	8.3%
Boston-Cambridge-Newton, Mass.-N.H.	$2,825	22.7%	$2,400	27.4%	$2,600	18.3%	$3,190	23.9%
Buffalo-Cheektowaga-Niagara Falls, N.Y.	$1,290	7.5%	$1,125	2.7%	$1,125	3.0%	$1,445	7.8%
Charlotte-Concord-Gastonia, N.C.-S.C.	$1,675	19.5%	$1,563	21.8%	$1,588	21.3%	$1,840	17.3%
Chicago-Naperville-Elgin, Ill.-Ind.-Wis.	$1,923	13.5%	$1,580	21.5%	$1,880	13.9%	$2,160	9.6%
Cincinnati, Ohio-Ky.-Ind.	$1,416	8.9%	$1,200	13.2%	$1,360	8.8%	$1,576	8.4%
Cleveland-Elyria, Ohio	$1,409	10.7%	$950	4.4%	$1,319	6.2%	$1,540	14.1%
Columbus, Ohio	$1,275	11.1%	$1,095	10.1%	$1,200	11.9%	$1,390	9.4%
Dallas-Fort Worth-Arlington, Texas	$1,655	21.3%	$1,375	18.5%	$1,508	22.4%	$1,918	20.3%
Denver-Aurora-Lakewood, Colo.	$1,970	15.3%	$1,600	14.7%	$1,848	16.0%	$2,331	16.3%
Detroit-Warren-Dearborn, Mich.	$1,385	4.5%	$1,074	7.9%	$1,165	6.4%	$1,545	4.6%
Hartford-West Hartford-East Hartford, Conn.	$1,626	7.5%	$1,497	32.5%	$1,440	2.9%	$1,955	11.7%
Houston-The Woodlands-Sugar Land, Texas	$1,435	13.1%	$1,344	11.6%	$1,310	13.4%	$1,609	12.7%
Indianapolis-Carmel-Anderson, Ind.	$1,237	8.9%	$1,050	8.4%	$1,130	8.2%	$1,374	10.9%
Jacksonville, Fla.	$1,600	23.3%	$1,430	42.3%	$1,484	20.8%	$1,757	24.4%
Kansas City, Mo.-Kan.	$1,233	10.6%	$1,014	9.1%	$1,115	13.0%	$1,465	11.3%
Las Vegas-Henderson-Paradise, Nev.	$1,649	24.8%	$1,315	13.4%	$1,519	25.5%	$1,750	22.3%
Los Angeles-Long Beach-Anaheim, Calif.	$3,016	20.9%	$2,279	23.2%	$2,767	23.9%	$3,445	18.2%
Louisville/Jefferson County, Ky.-Ind.	$1,204	13.6%	$1,005	12.0%	$1,135	12.9%	$1,359	8.6%
Memphis, Tenn.-Miss.-Ark.	$1,409	22.0%	$1,139	10.6%	$1,362	21.2%	$1,561	22.6%
Miami-Fort Lauderdale-West Palm Beach, Fla.	$3,045	53.9%	$2,500	46.0%	$2,659	51.9%	$3,500	54.3%
Milwaukee-Waukesha-West Allis, Wis.	$1,525	9.3%	$1,200	6.2%	$1,428	9.8%	$1,750	10.7%
Minneapolis-St. Paul-Bloomington, Minn.-Wis.	$1,580	5.5%	$1,245	4.2%	$1,495	5.5%	$1,925	4.4%
Nashville-Davidson--Murfreesboro--Franklin, Tenn.	$1,760	24.2%	$1,749	22.7%	$1,618	20.3%	$1,914	26.9%
New Orleans-Metairie, La.	$1,798	12.4%	$1,300	28.4%	$1,590	6.3%	$2,020	7.8%
New York-Newark-Jersey City, N.Y.-N.J.-Pa.	$2,845	18.0%	$2,581	29.1%	$2,573	12.2%	$3,166	13.1%
Oklahoma City, Okla.	$985	13.0%	$913	30.6%	$916	14.6%	$1,050	11.2%
Orlando-Kissimmee-Sanford, Fla.	$1,927	32.9%	$1,630	23.7%	$1,772	30.9%	$2,190	36.9%
Philadelphia-Camden-Wilmington, Pa.-N.J.-Del.-Md.	$1,775	7.6%	$1,413	2.0%	$1,679	4.1%	$1,975	6.1%
Phoenix-Mesa-Scottsdale, Ariz.	$1,915	20.1%	$1,429	20.4%	$1,650	20.7%	$2,225	14.7%
Pittsburgh, Pa.	$1,475	4.2%	$1,261	12.4%	$1,450	5.7%	$1,592	-2.0%
Portland-Vancouver-Hillsboro, Ore.-Wash.	$1,764	12.1%	$1,400	9.8%	$1,710	11.2%	$2,049	11.8%
Providence-Warwick, R.I.-Mass.	$2,200	25.4%	$1,468	4.9%	$1,765	13.5%	$2,575	29.9%
Raleigh, N.C.	$1,615	23.9%	$1,458	22.1%	$1,485	24.5%	$1,791	21.3%
Richmond, Va.	$1,435	17.0%	$1,147	15.0%	$1,305	18.1%	$1,559	16.4%
Riverside-San Bernardino-Ontario, Calif.	$2,729	12.3%	$1,400	-6.7%	$2,184	14.5%	$3,000	13.3%
Rochester, N.Y.	$1,320	9.5%	$980	8.6%	$1,265	13.6%	$1,405	7.7%
Sacramento--Roseville--Arden-Arcade, Calif.	$2,045	10.1%	$1,845	11.5%	$1,901	7.6%	$2,230	10.9%
San Antonio-New Braunfels, Texas	$1,385	19.4%	$1,242	16.4%	$1,264	20.1%	$1,599	21.0%
San Diego-Carlsbad, Calif.	$3,125	25.6%	$2,447	23.1%	$2,769	22.5%	$3,500	23.5%
San Francisco-Oakland-Hayward, Calif.	$3,000	11.1%	$2,350	15.6%	$2,750	11.4%	$3,500	9.5%
San Jose-Sunnyvale-Santa Clara, Calif.	$3,165	19.9%	$2,490	23.9%	$2,920	18.8%	$3,545	18.2%
Seattle-Tacoma-Bellevue, Wash.	$2,165	17.2%	$1,799	23.4%	$2,145	16.2%	$2,633	18.4%
St. Louis, Mo.-Ill.	$1,331	8.7%	$1,000	6.1%	$1,272	10.8%	$1,462	6.1%
Tampa-St. Petersburg-Clearwater, Fla.	$2,163	27.8%	$1,989	28.0%	$1,896	28.0%	$2,390	26.6%
Virginia Beach-Norfolk-Newport News, Va.-N.C.	$1,531	13.4%	$1,343	10.6%	$1,436	10.6%	$1,669	12.8%
Washington-Arlington-Alexandria, DC-Va.-Md.-W. Va.	$2,115	12.4%	$1,722	14.1%	$2,017	12.2%	$2,499	10.6%

Methodology

Realtor.com^® Monthly Rental Trends: Data as of April 2022 for studio, 1-bedroom, or 2-bedroom units advertised as for-rent on Realtor.com^®. Rental units include apartment communities as well as private rentals (condos, townhomes, single-family homes). National rents were calculated by averaging the medians of the 50 largest U.S. metropolitan areas, defined by the Core-Based Statistical Area (CBSA). Realtor.com^® began publishing regular monthly rental trends reports in October 2020 with data history going back to March 2019.

Note: With the release of its February 2022 Rental Report, Realtor.com^® incorporated a new and improved methodology (see details here). As a result of these changes, the rental data released since March 2022 will not be directly comparable with prior publications. However, future releases, including historical data, will consistently apply the new methodology.

Realtor.com^®'s Avail Quarterly Landlord and Renter Survey: Survey responses collected from a nationally representative sample of more than 2,400 independent landlords and their renters. The survey was conducted between April 21st, 2022 and May 2nd, 2022. The margin of error for landlords is ± 2.9%, and ± 2.7% for renters.

About Realtor.com^®
Realtor.com^® makes buying, selling, renting and living in homes easier and more rewarding for everyone. Realtor.com^® pioneered the world of digital real estate more than 25 years ago, and today through its website and mobile apps offers a marketplace where people can learn about their options, trust in the transparency of information provided to them, and get services and resources that are personalized to their needs. Using proprietary data science and machine learning technology, Realtor.com^® pairs buyers and sellers with local agents in their market, helping take the guesswork out of buying and selling a home. For professionals, Realtor.com^® is a trusted provider of consumer connections and branding solutions that help them succeed in today's on-demand world. Realtor.com^® is operated by News Corp [Nasdaq: NWS, NWSA] [ASX: NWS, NWSLV] subsidiary Move, Inc. For more information, visit Realtor.com^®.

Media Contact
rachel.conner@move.com 

 

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SOURCE Realtor.com

FAQ

What is the current U.S. median rental price as of April 2022?

The U.S. median rental price reached $1,827 in April 2022.

How much are rents expected to increase by August 2022?

Typical U.S. asking rents are expected to exceed $2,000 by August 2022.

What percentage of renters are saving less money than last year?

76.1% of renters reported saving less each month compared to last year.

What are the main reasons behind the rising rental prices?

Rising rental prices are attributed to high demand and a limited number of available units.

Which areas in the U.S. saw the highest rental price increases?

Major urban areas in the Sun Belt, such as Miami and Orlando, experienced the highest rental price increases.