➤ Key Highlights
Single-family rents in the U.S. rose 0.9% nationally in the month of October compared to October 2024.
Increases were most notable in high-end properties and in markets in the Midwest, according to Cotality’s newest single-family rent index (SFRI).
40 of the 50 largest metros experienced lower annual rent growth compared to the previous year.
Eighteen markets saw outright declines – half of them in Florida.
Rents remain higher nationwide than before the pandemic.
Averages are still 9% above their level that year (March 2022).
Rents for high-end properties rose 1.4% in October from their level in October 2024.
U.S. single-family rental rates increased 0.9% nationally in October compared to the previous year. Growth was concentrated in high-end properties and select Midwest metros, while 40 of the 50 largest markets posted slower annual rent growth. Eighteen markets registered outright declines, with half of those occurring in Florida.
Through the lens of evolving demand patterns and tenant preferences, this event illustrates how rental pricing is diverging across property types and regions. Shifts in rent growth rates reflect changing priorities among renters, including their willingness to pay for certain property attributes or locations. The differentiated trajectories suggest that tenant decision-making is increasingly nuanced, responding to both affordability and lifestyle considerations. This underscores the importance of understanding how demographic and economic factors influence leasing outcomes within the single-family rental sector.
⚠️ Why it matters now
For CRE professionals, recognizing changing tenant preferences is essential for anticipating demand and optimizing property offerings. The lens of evolving demand signals provides insight into how pricing power may concentrate in specific segments or geographies. Staying attuned to these shifts can inform development, acquisition, and underwriting strategies aligned with the latest tenant-driven trends.
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➤ TAKEAWAY
Continued monitoring of rent trends may reveal further differentiation between property types and markets as tenant preferences evolve. CRE stakeholders could see additional shifts in absorption patterns as renters respond to pricing, affordability, and regional economic factors. Ongoing analysis of these demand signals will be critical to understanding and navigating the single-family rental landscape.
