CoreLogic: Annual Single-Family Rent Growth Moderates, but Price Squeeze Persists

(Chart courtesy of CoreLogic)

Annual single-family rent growth slowed to 2.9% in August, the sixteenth consecutive month of declines, according to CoreLogic, Irvine, Calif.

Single-family rents have increased by 30% nationwide since February 2020, the latest CoreLogic Single-Family Rent Index reported. Those rents are still placing a notable burden on Americans.

“While annual single-family rent growth has returned to a moderate pace, more than three years of substantial increases will have a lasting impact on tenants’ budgets,” said Molly Boesel, Principal Economist for CoreLogic. “Single-family rents grew by 30% since February 2020, and small drops in some areas barely put a dent in the overall, cumulative increase. For example, even though rents in the Miami metro area have declined by 0.5% since August 2022, they are still 51% higher than they were before the pandemic began.”

CoreLogic broke properties down by type to analyze changes in rent year-over-year:

• Lower-priced (defined as 75% or less than the regional median) was up 4.2%, which is down from 12.6% in August 2022.
• Lower-middle priced (defined as 75%-100% of the regional median) was up 3.3%, which is down from 12.7% in August 2022.
• Higher-middle priced (defined as 100% to 125% of the regional median) was up 2.6%, which is down from 12.1% in August 2022.
• Higher-priced (defined as 125% or more than the regional median) was up 2.4%, which is down from 9.8% in August 2022.

Additionally, attached single family rental prices were up 3.5% year-over-year. Detached single family rentals were up 2.3%.