Single-family home rents started to slow in July after a strong first half of the year. Rent prices rose 2.3% from last year, down from the 3.1% increase in 2024. Rent growth weakened across metro areas and price tiers, with only Chicago seeing strong growth at 5.1%. Miami saw no rent growth at all.

Rent growth slowed at all price points, with high-end properties increasing 2.9% annually and low-end rents rising 1.6%. Single-family rentals were in high demand due to high home prices, leading to the construction of more rental communities by REITs like Invitation Homes and American Homes 4 Rent. REITs were selling more homes than buying to focus on rental communities.

Read more at CNBC: Single-family rent growth is starting to show new weakness