Redfin: Asking Rents Fell 0.5% Year-Over-Year in June

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Redfin, Seattle, reported the median U.S. asking rent fell 0.5% year-over-year to $1,642 in June. That marks the fourth straight month of annual declines.

On a month-over-month basis, asking rents are up 0.6%.

However, the median asking rent still doesn’t sit too far from the all-time high of $1,705 reached in August 2022.

Rents have been fairly flat for the past year–a contrast from the large swings during the early pandemic era. In general, there’s more apartment supply than demand, pushing rents down.

The median asking rent for a 2-bedroom unit fell 1.5% year-over-year to $1,713.

For 0-1 bedroom apartments and 3-plus bedroom units, rents were little changed annually.

“Renters have the upper hand–at least for now–because there are a near-record number of apartments coming on the market that landlords are scrambling to lease,” said Sheharyar Bokhari, a Senior Economist at Redfin. “In certain parts of the country, renters may be able to negotiate discounted rent, flexible leases or free parking. But these perks may be short-lived given that apartment construction is expected to slow and rental demand is expected to remain strong.”

Asking rents fell in 23 of the 44 major core-based statistical areas Redfin analyzed. The biggest year-over-year declines were in Minneapolis (down 5.8%), Austin, Texas (down 5.7%), and Las Vegas (down 4%).

Asking rents rose the most in Cincinnati (up 6.2%), St. Louis (up 4.3%), and Pittsburgh (up 3.7%).