From CNBC: 2024-05-21 14:27:06

During the pandemic, both single-family and multifamily rents soared due to remote work and migration patterns. However, new factors are now impacting rent prices differently. Multifamily rents in April were down 0.8% from last year, while apartment rents increased just 0.5%. The national median rent in April was $1,396. Apartment vacancies are rising, hitting 6.7% in March.

On the other hand, single-family rents are up 3.4% year over year. The increase is shrinking as more supply enters the market from build-for-rent companies. Roughly 18,000 single-family built-for-rent homes were started in the first quarter, a 20% increase from the previous year.

Rent growth overall in single-family properties suggests potential buyers priced out of the market are opting to rent similar alternatives. Mortgage rates have risen, making it harder to buy a home. Seattle saw the highest year-over-year increase in single-family rents at 6.3%, while Austin, Texas, experienced a 3.5% decline.

For the first time in 14 years, single-family attached properties like townhomes saw a year-over-year rent decrease. This decline is concentrated in certain markets, mostly in Florida, as new multifamily apartment supply competes with the single-family rental market.



Read more at CNBC: Where U.S. rents are rising