by Calculated Risk July 2, 2024 12:45 PM
In today’s Real Estate Newsletter: Asking rents remain roughly the same compared to the previous year
excerpt:
Tracking rents is important for understanding trends in the housing market: For example, a surge in rents helped infer a surge in household formation in 2021 (see September 2021). Household formation drives housing demandRents are coming under pressure as household formation slows and apartment complex completions increase.
ApartmentList.com says: Apartment List National Rent Report
Welcome to the Apartment List National Rent Report for July 2024. While rents have risen for the fifth consecutive month, rent growth remains modest for the entire year of 2024, signaling continued market weakness. The national median rent increased 0.4% in June and now stands at $1,411, but the rate of growth slowed slightly this month. This time of year is typically the height of moving season and a time of accelerated rent growth, but this month’s slowing growth indicates we’re heading into another slowdown in the market heading into summer.
Since the second half of 2022, seasonal rent declines have been sharper than usual and seasonal increases have been more moderate. As a result, apartments are, on average, slightly cheaper than a year ago. Nationwide, year-over-year rent growth is currently at -0.7%, having been in negative territory since last summer. But despite this cooling, the median rent across the country is still more than $200 per month higher than it was just a few years ago.
Realtor.com: Rents fall year-over-year for 10th consecutive month
In May 2024, U.S. median rents continued to decline year-over-year for the 10th consecutive month, falling 0.7% for 0-2 bedroom units in the top 50 metro areas, the same rate as April 2024.
There’s a lot more in the article.
