For renters, the demand for affordable housing continues to be an issue throughout the country. Perhaps there is no better example than right here in South Florida. With home prices skyrocketing in recent years, we have also seen the same trend in the rental market. Not surprisingly, as investors pay more for their properties, they also need to charge more rent to cover their costs. The National Association of Realtors® tracks rental data throughout the country and the top market for rental price growth in the country may not surprise some of you.
How do Florida rental markets compare to the rest of the country?
According to the latest data released by REALTOR®.com, the Miami-Fort Lauderdale-West Palm Beach market had the largest rental price increase in the country. This analysis showed that the median rent in South Florida was just under $3,000 per month in March. This equated to a 57% increase from the previous year and by far the largest percentage increase in the nation. In fact, the median price for a two bedroom rental in South Florida is closer to $3,400 per month, according to REALTOR®.com.
In addition to the Miami-Fort Lauderdale-West Palm Beach market, two other Florida markets also saw substantial rental price increases year-over-year. They were as follows:
- Orlando-Kissimmee-Sanford: 35% increase year-over-year
- Tampa-St. Petersburg-Clearwater: 31% increase year-over-year
Despite having the greatest year-over-year increase in rent, the Sunshine State didn’t have the highest overall median rent. Not surprisingly, California continues to have the highest overall median rent. Although rental prices can not continue to grow at the rapid pace that we have seen over the past two years, we continue to see increased demand for rental housing throughout South Florida. In fact, in some areas we are seeing a doubling or more of rents when compared to just several years ago. Are you thinking about purchasing an income property? We can help! Contact Live South Florida Realty, Inc. today!
At Live South Florida Realty, Inc. we have assisted many clients with their real estate needs. Are you looking to buy or sell a property in South Florida? Now more than ever, it is critical to have a qualified real estate team and the proper search tools behind you. Live South Florida Realty, Inc., has been a leader in the South Florida market for many years. Let our team of professionals assist you with buying or selling your piece of paradise today! In addition, our recently launched “Florida Home Search” app is now available on the Apple App Store and Google Play Store. With real-time MLS feeds, this app lets you set your own alerts to notify you as soon as a property meeting your needs hits the market. Furthermore, it will also let you know of recent closed sales in your area so that you may be even more educated on the market. Be sure to download this app for your smartphone or tablet today!