The New York metro area has the highest share of single-family rental (SFR) households, followed by San Francisco and Los Angeles. This is according to joint research by Arbor Realty Trust and Chandan Economics that analyzed Zillow’s Observed Rent Index covering the 100 largest markets in the United States, reflecting the first half of the year
Albany was among several mid-sized metropolitan statistical areas that outpaced the national rent growth average for SFR properties, the analysis said. The New York State capital posted 3.3% SFR rent growth through June to an average rent of $2,338. That is $14 higher than the national average.
Albany’s gains have been driven by stable public sector employment, ample technology jobs and tight housing supply, the report noted. Employment there is anchored by government and education, as well as a growing semiconductor and advanced manufacturing market.
Just 80 miles away, Poughkeepsie, New York, has seen rents drop 1.8% so far this year, a trend that could represent a normalization following a post-pandemic price surge as workers were willing to live further away from Manhattan offices. Rents in Poughkeepsie rose by more than 50% between 2020 and late 2024, but that momentum is shifting as employers enforce return-to-office mandates and worker appetite for long commutes has declined. This has weakened housing demand in outlying areas, Arbor and Chandan Economics said.
Winston, North Carolina, posted the second-highest SFR rent growth at 3.2% to an average of $1,902 so far this year. Columbia, South Carolina, ranked third with 2.9%, moving to an average of $1,854. Both markets consistently rank among the top 30 most affordable U.S. markets.
These areas highlight a larger theme; the analysis uncovered that affordable mid-size metro areas dominate the list of top SFR rent growth markets. Of the top 20, 14 had average monthly rent prices below the national average, and 19 of 20 markets had fewer than 2.5 million residents, according to the report.
Indianapolis and urban Honolulu rounded out the top five SFR rent growth markets through June. At the bottom of the list were North Port and Cape Coral, Florida, where rents fell 1% and 0.8%, respectively. Rents grew by an average of 1.1% across the country.
Richmond, Virginia, Tulsa, Oklahoma and Charlotte, North Carolina, also have seen sizable shifts toward rental housing over the past five years, according to the analysis. The growth in those markets has been driven by an influx of young professionals.
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