Calm seas prevailed in June, with changes to rent prices barely a ripple. From the largest increase to the biggest decline, the change in June rents either way barely equaled one percent.
While this steadiness should prevail into 2025, stormier seas could be on the horizon. This is due to a decrease in construction recently, which won’t be felt by renters for some time. It takes about two years to complete a multifamily construction project, and since the number of new projects declined in 2024, this will result in fewer available apartments in 2026, according to a recent CoStar news report. And while this could result in 2026 rent prices trending upward, rent prices should remain steady for now.
Vacancy Rates Level Off
At the beginning of June, the vacancy rate was 7.7%, which was down just slightly from previous months. It was the slowest decline we’ve seen recently, especially when compared to the wild rise in vacancy rates in 2023, averaging 30 basis points quarterly. According to the Apartments.com Monthly Rent Report for June 2024, the vacancy rate is expected to stabilize at 7.8% by the end of the year.
As the vacancy rate stabilizes, so do rent prices. As we enter the last half of 2024, rent prices are expected to rise just slightly, by about 1.1%. Compare this to the first quarter of 2022, when rent prices peaked at a 10.2% increase.
Rent in the Midwest Continues to Climb
The Midwest has seen the biggest rent increases since the end of 2022, and according to CoStar data, this trend should continue through next year. The Midwest’s 3.0% rent growth is much higher than the national average of 1.0%, demonstrating a shift in the rental landscape.
Before the pandemic, cities in the Sun Belt outperformed the Midwest in rent growth by about 100 basis points. In 2021, that grew even more to 790 basis points, according to CoStar data. However, things shifted in the last couple of years. So much so, that rent prices have been falling in the Sun Belt from a peak of 14.8% to -1.0%.
Cities with the Biggest Rent Increases
Last month, rent prices in Louisville, Kentucky had increased by more than five percent, more than any other city in the US. Rent growth in Louisville was based on several factors, including the lack of construction leading to lower vacancy rates, a strong economy, and a steady influx of new residents.
In June, Saint Louis, Missouri was the leader for cities with the largest rent increases, although rent prices were up by a modest 0.8%. Rent prices in Louisville are still on the rise, but only slightly in June at 0.2%. However, year over year, Louisville rent prices have increased more than any other major market, up by 4.9%.
In June 2024, these five cities saw the biggest rent increases:
- Saint Louis, MO (+0.8%)
- Sacramento, CA (+0.7%)
- Baltimore, MD (+0.6%)
- Norfolk, VA (+0.5%)
- Oklahoma City (+0.5%)
Cities with the Biggest Rent Declines
Last month, Austin, Texas saw the biggest decline in rent prices, falling -5.2%. June was more of the same, with rent prices continuing to trend downward in Austin. Currently, the average rent in Austin is $1,440 per month, which is roughly $45 less than last year.
With 23,600 new apartment units expected in Austin by the end of 2024, rent prices could fall more before the end of the year. However, construction has slowed considerably. With fewer construction projects starting, the market could shift from oversupplied to undersupplied. This would cause vacancy rates to drop as we enter 2026, leading to rent increases in Austin and in other Sun Belt cities.
In June 2024, these five cities saw the biggest rent declines:
- Austin, TX (-0.7%)
- Las Vegas, NV (-0.4%)
- Nashville, TN (-0.4%)
- Fort Lauderdale, FL (-0.3%)
- Jacksonville, FL (-0.3%)
Current Rent Prices Across the US
Want to see what rents are doing where you live? Here’s a look at current rent prices in cities across the country:
|
City |
Current Average Rent |
Last Month’s Average Rent |
Year-Over-Year Difference |
|
$2,338 |
$2,315 |
+4.9% |
|
|
$1,572 |
$1,569 |
-1% |
|
|
$1,440 |
$1,449 |
-3.2% |
|
|
$3,442 |
$3,449 |
+2.6% |
|
|
$1,592 |
$1,592 |
+0.8% |
|
|
$2,717 |
$2,694 |
+1.4% |
|
|
$1,781 |
$1,752 |
+3% |
|
|
$1,438 |
$1,438 |
-1% |
|
|
$1,843 |
$1,841 |
+3% |
|
|
$1,055 |
$1,042 |
+2.4% |
|
|
$1,308 |
$1,303 |
-0.6% |
|
|
$1,108 |
$1,108 |
+3% |
|
|
$1,376 |
$1,374 |
-0.4% |
|
|
$1,698 |
$1,699 |
+0.5% |
|
|
$2,132 |
$2,177 |
-0.7% |
|
|
$1,248 |
$1,254 |
-0.2% |
|
|
$3,568 |
$3,557 |
+1.9% |
|
|
$1,672 |
$1,663 |
+1.3% |
|
|
$1,167 |
$1,167 |
+1% |
|
|
$1,067 |
$1,063 |
+2.2% |
|
|
$2,846 |
$2,809 |
-2.2% |
|
|
$1,277 |
$1,285 |
-1.9% |
|
|
$3,034 |
$3,031 |
+2.7% |
|
|
$1,147 |
$1,150 |
+2.5% |
|
|
$1,256 |
$1,270 |
+0.1% |
|
|
$1,746 |
$1,743 |
+1.3% |
|
|
$2,125 |
$2,105 |
+0.6% |
|
|
$1,394 |
$1,394 |
+3.4% |
|
|
$2,078 |
$2,078 |
+2% |
|
|
$1,119 |
$1,123 |
+2% |
|
|
$1,339 |
$1,340 |
+1.4% |
|
|
$1,648 |
$1,648 |
+1.1% |
|
|
$3,796 |
$3,784 |
+3.1% |
|
|
$1,566 |
$1,558 |
+1.2% |
|
|
$1,699 |
$1,692 |
+1.5% |
|
|
$1,308 |
$1,312 |
-1.3% |
|
|
$1,310 |
$1,298 |
+3.5% |
|
|
$1,497 |
$1,486 |
+1.2% |
|
|
$2,338 |
$2,328 |
+0.7% |
|
|
$1,359 |
$1,356 |
-2.1% |
|
|
$1,354 |
$1,345 |
+4.4% |
|
|
$1,513 |
$1,503 |
+1.3% |
|
|
$1,069 |
$1,072 |
+0.8% |
|
|
$1,090 |
$1,093 |
-0.7% |
|
|
$2,296 |
$2,270 |
-0.3% |
|
|
$2,834 |
$2,804 |
+1.8% |
|
|
$2,554 |
$2,516 |
+4% |
|
|
$2,037 |
$2,027 |
+2.1% |
|
|
$1,609 |
$1,601 |
+0.3% |
|
|
$2,271 |
$2,254 |
+1.2% |
How Current Rent Prices Impact Renters
Summer is a popular time of year to move, so knowing what rent prices are doing in your area will help you know what to expect as you search for a new apartment. If you’re trying to decide whether to sign a long-term lease, knowing how rent prices may change in the future is an important factor to consider.
Learn more about what you can expect by comparing the rent prices from this report to those from May and April to determine the overall trend and visit the US Rent Trends page to view the most current rent prices available across the US based on CoStar data.
FAQs
What is the average rent in the US right now?
According to Apartments.com, the average rent in the US is currently $1,534 per month.
Are rents falling in the US?
While some cities in the Sun Belt have seen falling rent prices, the US overall has seen rent prices increase, up 0.7 percent year over year.
Which states have the highest rent in the US?
The states with the highest rent increases year over year include Wyoming, Vermont, and Virginia.
What states have the cheapest rent in the US?
The states with the cheapest rent right now are West Virginia, Oklahoma, and Arkansas. Of those, West Virginia has the lowest rent overall, averaging $860 per month.
