'Shocking' Apartment Rent Growth Might be Over

For once, reasonable rent growth is reflected in Zumper’s National Index, according to the firm’s data report issued last week.

While rates again reached all-time high in some categories, overall, the month signaled a slowdown from the “shocking” price spikes over the past year, according to the report. It’s a “reminder that the pandemic has upended nearly every economic trend in its path,” Zumper said in a release.

Median one-bedroom rent was up 0.5 percent during the past month–yet another all-time high – but that pales to the 1 percent or 2 percent spikes seen regularly during much of the pandemic.

Instead, falling were rents for two-bedroom units, which were down a sharp 2.9 percent during the past month. This could indicate these renters left rental housing to make that move to a single-family home, according to the report.

‘Pockets of Opportunities’ for Homebuyers

For many would-be home buyers, the recent interest-rate hike “created pockets of opportunity for renters who’ve been looking to buy a home for years and are a likely explanation for this month’s dramatic decrease in two-bedroom rent prices,” Zumper said in a release.

Mortgage applications fell to a 22-year low this month, according to the Mortgage Bankers Association. 

Miami Slides in Market Rankings

The hot Miami market cooled enough to move two spots down to the fifth-priciest market nationally. San Jose has taken Miami’s place at No. 3 in the US.

In the big city, New York City’s median one-bedroom rent of $3,600 reflects a 40 percent YoY increase and is $600 higher than San Francisco, the second most expensive city in the country.