The 10 Markets Leading the US Economy in Double-Digit Rent Growth

The United States continues to revitalize itself leading into July of 2021. Vaccine rates are rising, an increasing number of states are beginning to re-open, and multifamily rent is following the trend as well with an average increase in rent growth in multiple markets. According to the May 2021 Yardi Matrix Multifamily Report, national rents have increased by 2.5% year-over-year in May 2021; a number that mirrors pre-pandemic rent growth rates from March of 2020. These are excellent indicators the market is in recovery and multifamily investing remains strong and stable.

Furthermore, with 2.5% being the average, there are several key markets exceeding this number even more with double-digit percentages in growth. While there are some investors that chose to invest in their own “backyard,” there is validity to expanding your portfolio out-of-state, as key markets pose better opportunities for higher ROI’s.

Below are the 10 markets with the highest annual rent growth as of May 2021:

The 10 Markets with Annual Double-Digit Rent Growth:

10. Greensboro / Winston-Salem, NC

May 2020 – May 2021 Rent Growth: 10.1%

Median Household Income: $42,219

Average Current Rent (1BR): $1,000

Renter Occupied Households: 42%

9. Salt Lake City, UT

May 2020 – May 2021 Rent Growth: 10.2%

Median Household Income: $45,833

Average Current Rent (1BR): $1,289

Renter Occupied Households: 49%

8. West Palm Beach, FL

May 2020 – May 2021 Rent Growth: 11.5%

Median Household Income: $45,027

Average Current Rent (1BR): $1,656

Renter Occupied Households: 46%

7. Atlanta, GA

May 2020 – May 2021 Rent Growth: 11.7%

Median Household Income: $46,439

Average Current Rent (1BR): $1,559

Renter Occupied Households: 57%

6. Jacksonville, FL

May 2020 – May 2021 Rent Growth: 12.1%

Median Household Income: $46,768

Average Current Rent (1BR): $1,196

Renter Occupied Households: 37%

5. Tampa, FL

May 2020 – May 2021 Rent Growth: 12.3%

Median Household Income: $43,740

Average Current Rent (1BR): $1,451

Renter Occupied Households: 44%

4. Sacramento, CA

May 2020 – May 2021 Rent Growth: 13.1%

Median Household Income: $50,013

Average Current Rent (1BR): $1,584

Renter Occupied Households: 40%

3. Las Vegas, NV

May 2020 – May 2021 Rent Growth: 13.6%

Median Household Income: $50,903

Average Current Rent (1BR): $1,196

Renter Occupied Households: 37%

2. Riverside/ San Bernardino, CA

May 2020 – May 2021 Rent Growth: 14.8%

Median Household Income: $56,089