Rental Market Rollercoaster: East Coast Soars, Sun Belt Plummets in Surprising Shift!

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SEATTLE, WA — The latest report from Redfin reveals a modest increase in U.S. asking rents, with a year-over-year rise of 0.6% in September, bringing the national median to $1,634. Despite this uptick, rents decreased slightly by 0.2% from the previous month. Over the past two years, the median rent has remained relatively steady, fluctuating between $1,599 and $1,663.

Redfin Senior Economist Sheharyar Bokhari noted, “Rents remain stable nationally, but could look very different depending on where you live in the country.” He explained that limited construction on the East Coast and Midwest is driving rent increases, while Sun Belt cities, which experienced a post-pandemic construction boom, are seeing rent declines.

Washington, D.C. led the nation with the highest rent increase among major metros, reporting a 12% rise to $2,088. Eastern metros like Virginia Beach, VA and Baltimore, MD also saw significant rent hikes of 11.3% and 10.6%, respectively. Midwest cities Cleveland, OH and Chicago followed with increases of 11.1% and 9.1%.

In contrast, several Sun Belt metros experienced declining rents. Jacksonville, FL witnessed the steepest drop, with a decrease of 11.3% to $1,485. Other cities like Raleigh, NC, San Diego, Austin, TX, and Tampa, FL also saw notable decreases ranging from 7.7% to 10.6%.

For the second time in three months, asking rents fell across all bedroom categories. The median for studio and one-bedroom apartments dropped 0.2% to $1,489, while two-bedroom apartments decreased by 0.1% to $1,714. Larger apartments with three or more bedrooms saw a more significant decline of 1.9% to $1,995.

These trends reflect a complex rental market landscape, shaped by regional economic conditions and varying levels of housing supply.

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