Asking Rents Fall for Third Month in a Row

[Ken M.]

Asking Rents Fall for Third Month in a Row

In Austin, TX, the median asking rent dropped 8.8% year over year to $1,385 in May—the lowest level since February 2021 and $414 below the August 2023 record high. That’s the largest decline in percentage terms among the 44 major CBSAs Redfin analyzed. Next came Minneapolis (-6.3%), Columbus, OH (-3.5%), Nashville (-3.4%) and Portland, OR (-3.4%).

Asking Rents Hit Record High in Four U.S. Metros

In Cincinnati, the median asking rent rose 7.4% year over year to a record $1,460 in May—the largest increase among the 44 CBSAs Redfin analyzed. The second largest gain was in Tampa, FL (4.2%), followed by St. Louis (4%), Pittsburgh (3.5%) and Birmingham, AL (2.4%).

Aside from Cincinnati, three metros saw rents hit a record high in May: Chicago (up 1.9% Y/Y to $1,781), Memphis (1.9% to $1,274) and Washington, D.C. (2.4% to $2,104).

[Chris Seveney]

Quote from @Russell Brazil:

Quote from @Ken M.:

Asking Rents Fall for Third Month in a Row

In Austin, TX, the median asking rent dropped 8.8% year over year to $1,385 in May—the lowest level since February 2021 and $414 below the August 2023 record high. That’s the largest decline in percentage terms among the 44 major CBSAs Redfin analyzed. Next came Minneapolis (-6.3%), Columbus, OH (-3.5%), Nashville (-3.4%) and Portland, OR (-3.4%).

Asking Rents Hit Record High in Four U.S. Metros

In Cincinnati, the median asking rent rose 7.4% year over year to a record $1,460 in May—the largest increase among the 44 CBSAs Redfin analyzed. The second largest gain was in Tampa, FL (4.2%), followed by St. Louis (4%), Pittsburgh (3.5%) and Birmingham, AL (2.4%).

Aside from Cincinnati, three metros saw rents hit a record high in May: Chicago (up 1.9% Y/Y to $1,781), Memphis (1.9% to $1,274) and Washington, D.C. (2.4% to $2,104).

 Yup, rents in DC have shot up dramatically since the start of the year. The Federal Governments return to office policy forced people who had moved away to move back to DC, and put huge upward pressure on rents. 

Wait a minute... I thought the apocalypse hit DC? Between the headlines, the budget standoffs, and the “everyone’s getting fired” narrative, I figured rent would be free by now. Maybe they'd even throw in a parking spot and Metro card just to get someone to sign a lease.

Instead, rents are up to a new record high at $2,104? So much for the flood of laid-off government workers crashing the market. Just another reminder that the media stories rarely match what’s actually happening on the ground.