CoreLogic: Single-Family Rent Growth Sees Lowest Annual Increase in 14 Years

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CoreLogic, Irvine, Calif., released its Single-Family Rent Index for November, finding that single-family rent growth slowed to 1.5% year-over-year. That’s the lowest annual increase in more than 14 years.

“Single-family annual rent growth slowed in November to the lowest rate in about 14 years. Wage growth outpaced single-family rent growth for much of the past two years which kept rent growth in positive territory,” said CoreLogic Senior Principal Economist Molly Boesel.  “Despite the recent slowdown in rent growth demand for rentals should remain strong as wage and job growth are anticipated to remain strong this year.”

CoreLogic broke down single-family rental prices by tiers.

Lower-priced single-family rents (defined as 75% or less than the regional median) were up by 1.9%, down from 2.8% in November 2023.

Lower-middle priced (defined as 75% to 100% of the regional median) were up by 1.7%, down from 2.6% in November 2023.

Higher-middle priced (defined as 100% to 125% of the regional median) were up by 1.5%, down from 2.3% in November 2023.

Higher-priced (defined as 125% or more than the regional median) were up by 2.2%, up from 2% in November 2023.

Attached single-family rental prices increased by 1% year-over-year, compared with a 1.7% increase for detached rentals.

Looking geographically, Detroit saw the largest growth among the 20 tracked major markets, with a 6.1% year-over-year increase in single-family rents. Washington, D.C., saw the second-highest gain at 5.5%, with Honolulu at 4.3%.

Some metro areas showed annual rental price losses, including Austin, Texas, (down 2.4%); Boston (down 1.5%), Phoenix, Ariz., (down 1.2%), Tucson, Ariz., (down 0.4%); and Dallas, Orlando, Fla., and San Diego (down 0.3% each).