Year-over-year (YoY) rent growth continues to stall. According to the January 2024 Apartment List National Rent Report, December was the fifth straight month of negative rent growth, which is down 0.8% during the month. YoY rent growth was at -1%.
Seasonally, this is not unexpected as the colder months typically have rents decline as seen in previous years. Throughout 2023, rent growth was at -0.7% the second-slowest median rent growth annual change since 2018. The only year slower was 2020 at -1.3% growth.
Rents are down YoY in 60 of the 100 largest U.S. cities, while 83 of the top 100 cities were down month to month. Austin, Texas, was the slowest growing metro during the past six months and 12 months, while San Francisco at 8% growth was the slowest mover during the past three years.
Sun Belt markets remain dotted across the top 10 fastest rent growth metros during the past three years. This includes Miami, Tucson, Ariz., and Tampa, Fla. Meanwhile, colder and Midwest markets like Milwaukee, Chicago, Cleveland and Philadelphia are among the fastest-growing metros during the past six months and 12 months.