National single-family rents are barely rising—and in some major markets, they're even starting to fall.
Rent growth slowed to just 1.1% year over year in February 2026, the lowest level recorded for the month since 2010, according to a new report from global property firm Cotality. That marks a sharp drop from the 2.6% growth recorded a year earlier and sits at roughly one-third of the 3.3% average seen before 2020.
Cotality's Single-Family Rent Index, which tracks rent changes across the U.S. and in individual metro areas, reflects a market that has been steadily cooling for months. Earlier signals pointed in the same direction. A January 2026 survey from Zelman & Associates showed rent declines at -1.1%, the weakest reading in the survey's history and the first time it turned negative. By September 2025, Cotality data had already shown annual growth slowing to 1% across major metros.
At the same time, investment activity has pulled back. Atlas Real Estate CEO Tony Julianelle recently noted that capital deployment into the sector has quieted over the past three years.
"When your cost of capital moves 300-plus basis points, and cap rates don't follow, the math doesn't work for most institutional buyers," he said. "That's not a sentiment problem; it's an arithmetic problem. And it's happening against a backdrop of demand that's only getting stronger."
The latest data shows rent growth weakening across all price tiers, though the impact varies. High-priced properties posted a 2% annual increase in February, down from 3.1% a year earlier. Low-priced rents rose just 0.4%, compared with 2% the prior year. Detached rentals grew 0.8%, while attached units increased 0.5%.
Affordability pressures have weighed more heavily on lower-income renters, while higher-income households have been better positioned to absorb rising costs.
"While it looks like rent increases have slowed significantly more for lower-income renters, when you look back at the last five years, rent growth is similar across all price tiers, highlighting how broadly gains were distributed earlier in the cycle," Molly Boesel, senior principal economist at Cotality, said in prepared remarks.
"Geographic differences remain substantial, but deceleration is becoming less widespread, with fewer metros seeing annual declines and slowdowns than last month."
Performance diverged widely across markets. Miami posted the steepest decline, with rents falling 1.2% year-over-year. Los Angeles also recorded an annual drop—its first since the 2025 wildfires—suggesting rents are normalizing back toward pre-wildfire levels.
In contrast, the Midwest and Northeast markets led the nation. Chicago and Philadelphia each recorded 4.8% growth, followed by Detroit at 3.7%. The New York–New Jersey region posted a 2.5% increase, while Washington, D.C. saw a more modest 0.6% gain.
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