March 2023 U.S. rent down to $1937, first yearly decline in 36 months. State stats less rosy.

The latest research from Rent.com shows median March 2023 rent advertised by landlords in America down is down to $1937. This is the first yearly decline in 36 months.

This national stat shows what rent prices are being advertised to people to rent houses, condos, and apartments in 50 U.S. metro areas. But at the state level, rents are mostly up.

Here are some critical takeaways:

– Annual rents (March 2022 to March 2023) grew in 81.4% of state-level markets, and dropped in 18.6% of state-level markets.

– Of 19 states with 5%+ annual rent growth, 17 are in the Midwest or South.

– Median rents were up from February to March in 58.14% of state-level markets.

– Colorado saw the largest February to March increase at 4.39%

– 13 states registered monthly increases of less than 1%.

– Here are the 10 states with the highest March 2022 to March 2023 rent growth:

South Dakota (+24.44%)
Mississippi (+18.73%)
New Hampshire (+15.40%)
North Dakota (+14.44%)
Arkansas (+13.71%)
Alabama (+12.73%)
Iowa (+12.32%)
Florida (+11.82%)
Delaware (+10.67%)
Nebraska (+10.10%)

So even though national rents are down, this state level data is why consumer sentiment is still pretty sour.

The linked report below goes down into detail on 50 cities.

And here is The Basis Point’s latest on home affordability for Gen Z, millennials, and Gen X.

Another critical takeaway for Gen Z:

Your average home purchase last year comes with $1974 total monthly cost.

This is about the same price as March 2023 U.S. rents of $1937.

Hit that affordability link above for details.

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Reference:

– Rent.com April 2023 Rent Report