Single-Family Rent Growth Continues to Slow

CoreLogic’s index for July indicates easing for a third consecutive month.

Just like its multifamily cousin, single-family rental home rent growth is slowing.

July marked the third consecutive month it slowed, according to CoreLogic’s Single-Family Rent Index (SFRI), a trend moving from April’s historic rent highs.

U.S. single-family rent growth was up by 12.6% in July year over year.

Molly Boesel, principal economist at CoreLogic, said in prepared remarks that higher interest rates this year increased monthly mortgage payments for new loans, and potential homebuyers may choose to continue renting rather than buy, “helping to keep price increases in check.”

Miami Rent Growth Falls, But Still Tops the List

Miami has posted the largest year-over-year rent price increase for more than a year, but annual appreciation has tapered significantly since spring. It almost had to.

Miami’s 30.6% annual price gain again topped the country in July but is down from the 40.8% year-over-year growth recorded in March 2022.

Phoenix, which posted a 12.2% annual gain in July, saw rental cost growth drop by 6 percentage points from March, CoreLogic reported.

The data firm found that there’s been a move away from the pandemic-era preference to live in detached homes, though. Attached single-family rental price growth slightly outpaced detached price growth in July, a respective 12.6% and 11.9%.