Continuing strong demand drove the average U.S. monthly rent to a new high of $1,476 in October 2019, according to Yardi® Matrix.
Seventeen of the 30 major markets tracked by Yardi Matrix experienced year-over-year rent growth of at least 3.3 percent in October, while only two trailed the 2.5 percent long-term average. The average national multifamily rent has grown by 32 percent since January 2012.
Phoenix; Las Vegas; Raleigh, N.C.; California’s Inland Empire; and Sacramento, Calif., were last month’s year-over-year rent growth leaders.
The steady growth trend prompted Oregon, New York and California to enact rent control measures over the past year; several other states are considering them. The report said “these laws are likely to prove counterproductive over time” by increasing cost burdens on markets’ new renters, limiting development of new stock and imposing disincentives for capital improvements. “The United States needs more units built, but rent control moves the needle in the opposite direction.”
Get insight about demand, supply, rent control legislation and other factors from the Yardi Matrix multifamily national report for October 2019.
