Rental trend in the US. Photo: Mixi's
Apartment Rental Trend in the US. Photo: Mixi's

Top 10 most expensive cities - the rental markets in the US for 2021

1. New York

2. San Francisco

3.Boston

4. San Jose

5. Washington D.C.

6. Los Angeles

7. Oakland

8. San Diego

9. Miami

10. Santa Ana

Full List & Top 10 Most Expensive Apartment Rental Markets in the US for 2021
Top 10 Most Expensive Cities in Apartment Rental Markets for 2021

What are the most expensive cities in America's aparment rental markets?

New York City now holds the top slot as the most expensive apartment rental market in the nation.

The coronavirus pandemic caused a massive disruption to New York’s real estate market early on, but demand has since turned around. Rents are not only rebounding but returning to pre-pandemic levels.

New York is now slightly more expensive than San Francisco, according to a new report from Zumper, an apartment listing website, which has been tracking rental markets since 2014.

Just two years ago, the median one-bedroom rent in San Francisco was more than $800 above New York’s. The median rent for a one-bedroom apartment in New York City is now $2,810, compared with $2,800 in San Francisco.

Rounding out the top five most expensive rental cities are Boston, at $2,300; San Jose, California, at $2,200, and Washington, D.C., at $2,160.

San Francisco and New York were hit hardest by the pandemic, as offices shut down and residents fled to either smaller cities or the suburbs. In New York especially, there was a major outflow to the Sun Belt.

Just 8 months ago, at this start of this year, the median one-bedroom rent in San Francisco had fallen nearly 24% compared with March 2020, and in New York City it was down nearly 18%. San Francisco, however, was still more expensive than New York by $330.

Since January, New York rents have jumped nearly 20%, but San Francisco rent is up by only about 5%.

“Tech workers make up a disproportionate share of residents in the city, and tech companies are more likely to have adopted broad or permanent work-from-home policies. This allows those workers to live anywhere they want, and many of them have decided they don’t want to live in San Francisco,” according to Jeff Andrews, who authored the Zumper report.

National rent growth continues stunning acceleration

Photo: Zumper
Photo: Zumper

After the pandemic began in March 2020, prospective buyers rushed into local home sales markets in hopes of acclimating their living arrangement to stay-at-home orders and work-from-home policies. Sales volume and home valuations skyrocketed as a result of the sudden and surprising demand. That’s now trickling down to the rental market and causing massive spikes in rent. Zumper’s national rent index for August has one-bedroom median rent up 9.2 percent since the second quarter of 2020, and two-bedrooms are up 11 percent.

There are a number of factors contributing to this; as home prices have risen and bidding wars exploded, renters who would otherwise be buying properties have been priced out or gotten exhausted with the competition in the housing market. Others suffered economic hardship and had to tap into what they’d been saving for a down payment just to make ends meet. The number of people in these positions has built up over the course of the pandemic, slowly putting upward pressure on rent. The dam seems to have broken in 2021, as the national index has hit new all-time highs all but one month of this year.

But it’s not just the overheated home sales market contributing to these numbers. As the economy has improved and unemployment has fallen, people who are making more money have also been deciding to move. Those who moved in with family during the pandemic are moving out now that they have jobs or schools to return to. A lot of the cyclical nature of rent prices — where rent rises in the spring and summer and falls in the winter — stopped after the beginning of the pandemic, which set off a massive wave of domestic migration unrelated to seasonality. But with universities opening for in-person learning this fall, the events that drive that cyclical nature of rent are returning, leading to the normal spike in rent that happens as students move. All together, this creates a recipe for unprecedented rises in rent across the country, according to Zumper.

Nationwide benefits

While New York is seeing the strongest rebound, cities across the country are seeing more rental activity, and even bidding wars in some markets that are typically only seen in for-sale markets. In the spring of this year, rental applications in New York City doubled compared to 2020, according to RentCafe, another rental listing website. San Francisco saw a 79% increase in potential renters, and Seattle experienced a 55% jump.

This has pushed up fares nationally. One-bedroom apartments are up 9% year over year; According to Jumper, two-bedrooms are up 11%. For single-family rental homes, June’s latest read from CoreLogic showed a 7.5% year-over-year increase from a year earlier, more than five times the annual increase in June 2020.

“Ultimately, for homebuyers who are either out of the market or unable to find homes in today’s supply-constrained market, detached rentals are highly preferred – and remain in high demand,” says Molly Bossel. Core Logic, said the leading economist.

While New York and San Francisco are the most valuable rental markets, other cities are seeing extreme increases in rents. salt Lake City; Knoxville, Tennessee; Raleigh, North Carolina; Austin, Texas and Phoenix top the list of those seeing the biggest growth. The ones with the least rent increase are Chattanooga, Tennessee; Baltimore; Milwaukee; Rochester, New York and Fort Worth, Texas.

Full list of rental markets in the US for 2021

1 Bedroom 2 Bedrooms
Pos. +/- City Price M/M % Y/Y % Price M/M % Y/Y %
1 1 New York, NY $2,810 4.90% 4.10% $3,000 4.50% -1.30%
2 -1 San Francisco, CA $2,800 2.90% -7.90% $3,830 2.10% -5.90%
3 0 Boston, MA $2,300 0.00% 0.00% $2,730 1.10% -2.50%
4 0 San Jose, CA $2,200 1.40% -1.30% $2,720 -0.70% -1.10%
5 0 Washington, DC $2,160 4.90% 5.40% $2,910 -1.00% 3.20%
6 0 Los Angeles, CA $2,050 2.50% -1.40% $2,800 0.00% -2.80%
7 -1 Oakland, CA $2,000 0.00% -9.10% $2,600 0.00% -7.10%
7 1 San Diego, CA $2,000 2.00% 11.10% $2,700 1.90% 14.90%
9 0 Miami, FL $1,880 5.00% 7.40% $2,480 5.10% 5.50%
10 -1 Santa Ana, CA $1,830 2.20% 7.60% $2,300 0.00% 2.20%
11 1 Anaheim, CA $1,760 2.30% 6.70% $2,160 2.90% 8.50%
11 2 Scottsdale, AZ $1,760 4.80% 21.40% $2,300 5.00% 19.20%
13 1 Atlanta, GA $1,660 3.80% 15.30% $2,120 1.90% 11.60%
13 -2 Fort Lauderdale, FL $1,660 -4.00% -1.80% $2,360 4.90% 7.30%
15 -1 Seattle, WA $1,650 3.10% -2.90% $2,120 1.00% -5.40%
16 1 Gilbert, AZ $1,620 5.20% 24.60% $1,890 5.00% 23.50%
17 -3 Long Beach, CA $1,600 0.00% 0.00% $2,150 4.90% 2.40%
18 2 Denver, CO $1,530 4.80% 7.00% $2,070 3.50% 6.20%
19 3 Chandler, AZ $1,520 4.80% 21.60% $1,740 4.80% 18.40%
20 -2 Providence, RI $1,500 0.00% 2.00% $1,690 5.00% -4.00%
21 -1 Sacramento, CA $1,490 2.10% 6.40% $1,870 0.50% 13.30%
22 4 Orlando, FL $1,460 5.00% 18.70% $1,610 5.20% 15.00%
22 -3 Honolulu, HI $1,460 -0.70% -8.80% $2,150 4.90% -4.00%
24 -1 Chicago, IL $1,450 1.40% -3.30% $1,730 1.80% -3.90%
25 -1 New Orleans, LA $1,430 2.10% -1.40% $1,700 1.20% -1.70%
26 2 Henderson, NV $1,420 5.20% 20.30% $1,610 5.20% 19.30%
27 -3 Portland, OR $1,400 0.00% 0.00% $1,760 1.70% 1.10%
27 1 St Petersburg, FL $1,400 3.70% 5.30% $1,960 4.80% 19.50%
29 3 Nashville, TN $1,380 5.30% 8.70% $1,500 0.70% 4.20%
30 6 Austin, TX $1,370 5.40% 7.00% $1,730 4.80% 10.20%
30 2 Charlotte, NC $1,370 4.60% 13.20% $1,580 3.90% 12.10%
32 -4 Philadelphia, PA $1,350 0.00% -10.00% $1,700 0.00% -2.90%
33 -1 Dallas, TX $1,340 2.30% 8.90% $1,790 1.70% 5.90%
33 4 Tampa, FL $1,340 4.70% 13.60% $1,590 5.30% 13.60%
35 2 Boise, ID $1,310 2.30% 24.80% $1,430 5.10% 15.30%
36 -9 Baltimore, MD $1,300 -5.10% -4.40% $1,460 -5.20% -12.60%
36 -4 Plano, TX $1,300 -0.80% 15.00% $1,730 -1.10% 15.30%
38 -7 Cleveland, OH $1,290 -3.70% 22.90% $1,340 0.80% 16.50%
39 1 Madison, WI $1,280 4.90% 15.30% $1,490 1.40% 8.00%
40 3 Durham, NC $1,260 5.00% 14.50% $1,410 5.20% 11.00%
40 1 Reno, NV $1,260 4.10% 14.50% $1,630 0.00% 14.80%
42 -3 Newark, NJ $1,250 0.00% -7.40% $1,520 0.70% -15.10%
43 1 Irving, TX $1,240 5.10% 14.80% $1,630 0.60% 14.80%
44 -3 Virginia Beach, VA $1,230 1.70% 13.90% $1,400 2.20% 12.00%
45 4 Phoenix, AZ $1,200 5.30% 15.40% $1,510 4.90% 20.80%
46 5 Raleigh, NC $1,180 5.40% 13.50% $1,350 1.50% 8.90%
47 5 Salt Lake City, UT $1,160 5.50% 16.00% $1,400 2.90% 7.70%
48 -4 Minneapolis, MN $1,150 -2.50% -13.50% $1,630 5.80% -15.10%
49 -2 Aurora, CO $1,140 -0.90% 3.60% $1,590 0.60% 10.40%
50 2 Pittsburgh, PA $1,130 2.70% 5.60% $1,360 -0.70% 0.70%
51 6 Las Vegas, NV $1,120 4.70% 10.90% $1,360 4.60% 8.80%
52 -6 Chattanooga, TN $1,100 -5.20% 15.80% $1,240 5.10% 15.90%
52 7 Chesapeake, VA $1,100 4.80% -1.80% $1,300 0.80% 5.70%
52 -5 Fresno, CA $1,100 -4.30% 0.90% $1,430 2.90% 8.30%
52 -3 Houston, TX $1,100 -3.50% -0.90% $1,410 -4.70% 3.70%
52 0 Mesa, AZ $1,100 0.00% 14.60% $1,430 5.10% 19.20%
57 4 Glendale, AZ $1,080 4.90% 24.10% $1,330 4.70% 14.70%
58 -2 Richmond, VA $1,070 -0.90% -7.00% $1,300 -1.50% -6.50%
59 0 Buffalo, NY $1,050 0.00% -2.80% $1,140 -0.90% -10.90%
60 7 Anchorage, AK $1,040 5.10% 9.50% $1,220 -1.60% 6.10%
60 3 Colorado Springs, CO $1,040 4.00% 6.10% $1,390 4.50% 11.20%
60 -5 Fort Worth, TX $1,040 -4.60% -4.60% $1,380 -4.80% 3.80%
63 0 Jacksonville, FL $1,030 3.00% 12.00% $1,250 1.60% 11.60%
64 -1 Norfolk, VA $1,020 2.00% 5.20% $1,210 5.20% 10.00%
64 -7 Rochester, NY $1,020 -4.70% 7.40% $1,270 -2.30% 9.50%
64 5 Spokane, WA $1,020 5.20% 22.90% $1,270 5.00% 19.80%
67 -5 Des Moines, IA $1,000 -2.00% 11.10% $1,050 4.00% 10.50%
67 1 San Antonio, TX $1,000 2.00% 11.10% $1,240 3.30% 12.70%
69 7 Knoxville, TN $970 5.40% 18.30% $1,140 4.60% 12.90%
70 0 Kansas City, MO $950 0.00% -2.10% $1,200 0.00% 4.30%
70 -7 Milwaukee, WI $950 -5.00% -8.70% $1,100 0.00% -7.60%
72 1 Columbus, OH $940 1.10% 10.60% $1,100 1.90% 0.00%
73 -3 Arlington, TX $930 -2.10% 3.30% $1,290 4.90% 9.30%
73 0 Indianapolis, IN $930 0.00% 4.50% $1,000 1.00% 2.00%
73 -3 St Louis, MO $930 -2.10% -2.10% $1,260 0.00% 3.30%
76 1 Cincinnati, OH $920 2.20% -3.20% $1,100 4.80% -4.30%
77 -4 Bakersfield, CA $900 -3.20% 5.90% $1,150 0.90% 15.00%
78 3 Augusta, GA $890 4.70% 8.50% $990 4.20% 10.00%
78 0 Louisville, KY $890 0.00% 4.70% $990 -1.00% 4.20%
78 3 Memphis, TN $890 4.70% 4.70% $940 4.40% 4.40%
81 -3 Lincoln, NE $870 -2.20% 7.40% $1,030 -4.60% 6.20%
82 2 Corpus Christi, TX $850 1.20% 2.40% $1,080 2.90% 0.90%
82 5 Detroit, MI $850 4.90% 14.90% $1,040 -5.50% 22.40%
82 2 Winston Salem, NC $850 1.20% 1.20% $990 1.00% 10.00%
85 -5 Omaha, NE $840 -2.30% -1.20% $1,160 5.50% 9.40%
86 0 Baton Rouge, LA $830 0.00% 0.00% $980 3.20% 5.40%
86 -5 Syracuse, NY $830 -2.40% 3.80% $1,030 0.00% -6.40%
88 -1 Greensboro, NC $810 0.00% 6.60% $880 -1.10% -1.10%
88 1 Tallahassee, FL $810 1.30% 6.60% $970 2.10% 7.80%
88 1 Tucson, AZ $810 1.30% 12.50% $1,060 5.00% 14.00%
91 0 Oklahoma City, OK $800 1.30% 5.30% $910 -3.20% 2.20%
92 0 Albuquerque, NM $770 1.30% 4.10% $1,030 5.10% 9.60%
92 2 El Paso, TX $770 2.70% 13.20% $970 5.40% 16.90%
92 0 Lexington, KY $770 1.30% 2.70% $1,000 5.30% 9.90%
95 0 Laredo, TX $760 2.70% -3.80% $920 2.20% 8.20%
96 0 Tulsa, OK $720 4.30% 10.80% $900 1.10% 8.40%
97 1 Lubbock, TX $680 1.50% 4.60% $850 0.00% 6.30%
97 -1 Shreveport, LA $680 -1.40% 4.60% $800 0.00% 0.00%
99 0 Akron, OH $630 -1.60% 8.60% $760 1.30% 5.60%
100 0 Wichita, KS $620 1.60% -4.60% $800 1.30% 6.70%

Rental industry trends

1. Rent payments reflect resilience, but challenges remain

The National Multifamily Housing Council (NMHC) released hopeful guidance about the state of multi-family housing as the nation continues to emerge from the pandemic. At the same time, the council acknowledged potential challenges ahead — including rising material costs and growing labor shortages in the construction industry, as reported by CNBC.

Nearly 95 percent of rent payments were made in May 2021 and 77 percent of June rent payments had been made by June 6. At present, a national eviction moratorium is in place through June 30.

2. Annual housing report highlights price hikes, disparities

On June 16, Harvard's Joint Center for Housing Studies released its annual State of the Nation's Housing report for 2021. The report documents the record inventory lows that are currently driving home prices upward and adding a fresh round of gas to the affordability fire.

Increases in home prices have been outpacing income gains for some time now, and as of this year, the price-to-income ratio is at its highest level since 2006. That means that many would-be homebuyers are potentially being left behind as the price of entry into homeownership — the accumulation of a down payment and closing costs — rises while those who can afford to buy race into the market.

Although the homeownership gap is narrowing between households of color and white households, the report points out that the gap remains significant — and all households facing lower median incomes and/or other sizeable expenses, such as student loans, remain at risk of being unable to afford homeownership.

Top 20 Weirdest Laws in the US That Still Exist Top 20 Weirdest Laws in the US That Still Exist

What are weirdest laws in the US? the If you are living in the US, have you ever failed to abide by the law because ...

Top 10 Most Beautiful Lakes In The US Top 10 Most Beautiful Lakes In The US

There are hundreds of prettiest lakes in the US spread out over varying geographical backgrounds, and all of them are beyond compare.

Top 10 Most Beautiful Mountains In The U.S Top 10 Most Beautiful Mountains In The U.S

America has some of many beautiful spots that are visited most by people from around the world. Check out the list of top 10 most ...