The Best And Worst Rental Markets

Rental markets
Soaring rental prices have made it difficult on many renters, but prices have adjusted in certain markets.

Over the pas several years, we have seen a rental crisis across many locations throughout the country. With prices soaring in many rental markets in addition to out-of-control inflation, many Americans continue to struggle to make ends meet. Recently, the Waller, Weeks and Johnson Rental Index shed some light on the country’s hottest and coolest rental markets. The index compares current rents to historical trends, revealing which cities are overpriced and which offer hidden gems. We discuss the findings below.

Best rental markets

Several cities are offering rents at a discount compared to historical trends. Here are the top 5 renter-friendly havens:

  1. Boise City, Idaho: Taking the crown for the biggest discount is Boise, with rents a whopping 5.45% lower than expected.
  2. Austin, Texas: Following closely behind is Austin, boasting a 3.27% discount on rents.
  3. Phoenix, Arizona: Looking for sunshine and affordability? Phoenix offers rents 3.15% lower than predicted.
  4. Las Vegas, Nevada: Roll the dice on a great deal in Las Vegas, where rents are 2.88% lower than expected.
  5. Spokane, Washington: Seeking a scenic escape with reasonable rent? Look no further than Spokane, with rents 2.62% lower than anticipated.

Worst rental markets

While some cities offer relief, others are feeling the rental pinch. Here are the top 5 markets where renters are paying a premium:

  1. Springfield, Massachusetts: Landlords in Springfield are calling the shots, with rents a hefty 7.45% higher than expected.
  2. Knoxville, Tennessee: Knoxville renters are feeling the burn, with rents 7.18% higher than predicted.
  3. Madison, Wisconsin: The “cheesehead” tax? Apparently it applies to rent too, with Madison prices 6.90% higher than expected.
  4. New Haven, Connecticut: Living close to Yale comes at a cost, with New Haven rents 6.84% higher than anticipated.
  5. Syracuse, New York: Cold weather and hot rents? Syracuse renters are paying 6.71% more than expected.

South Florida rental markets

Throughout South Florida, we continue to see strong demand for rental housing. In the Miami metro market, the typical rental decreased by 0.09% in February. Over the past year, these prices grew by a modest 2.4%. Although South Florida rents are down from a year ago, they are still considered to be priced at a 5.4% premium. The average rent on a typical unit is $2,715.19, but statistics indicate that rent should be $2,576.03.

Summary

Overall, rental prices are calming down throughout South Florida as well as many other parts of the country. As always, it is best to consult a local and knowledgeable real estate agent regarding your local market. If you are a real estate investor, South Florida continues to see strong demand and can be a great location to build your portfolio of income housing.

Are you looking to buy or sell property in South Florida? We can help! Contact Natasha at Live South Florida Realty, Inc. today! Also, don’t forget to download our free Florida Home Search app for your smartphone or tablet!

By natasha moore

REALTOR® with Live South Florida Realty, Inc.