U.S. Asking Rents Increase Year-Over-Year but Declined Month-Over-Month in September

Redfin reported that according to their latest data, year-over-year the typical U.S. asking rent increased 0.6% in September to $1,634. The biggest rent increases were in several East Coast and Midwestern metro areas. Month-over-month (Aug. 24 – Sept. 24) the average monthly rent declined 0.2%.

Redfin notes that the median rent has stayed largely flat for the past two years, ranging between $1,599 and $1,663—including sitting in a tight window between $1,630 and $1,650 for 16 of the past 24 months. In parallel, wages are growing around 4% year-over-year, showing that rent is more affordable now than it was two years ago.

Redfin points out that Washington, D.C. posted the biggest rent increase of the 50 most-populous metros Redfin analyzed in September, up 12% year-over-year to $2,088. On the other hand, rents in Sun Belt metros continue to retreat.

Redfin’s Senior Economist Dr. Sheharyar Bokhari said, “Rents remain stable nationally, but could look very different depending on where you live in the country. On the East Coast and in the Midwest, there hasn’t been as much building activity, so asking rents are rising. Meanwhile, if you’re in a Sun Belt city where construction boomed following the pandemic, rents are now falling pretty fast.”