Rental prices across the U.S. grew five times faster in 2021 than in 2020, on average, after six straight months of double digit yearly increases ending in December, Forbes reports. Rents surged in the majority of large metros, particularly in booming Florida markets like Miami, Tampa, and Orlando.
Midway through 2021, rent growth hit a double-digit pace of 10.1% above the 2020 rate, and by December, the U.S. median rental price grew 19.3% year-over-year to $1,781. While many large metros reported significant growth, smaller secondary cities were the fastest growing rental markets of 2021, led by Riverside, California.
Realtor.com chief economist Danielle Hale said, “On average in 2021, national rents were more than 10% higher than in 2020. As our December report further illustrates, this average understates the wild ride that the rental market, and many renters, experienced in 2021. Rents started the year roughly flat and gained incredible momentum throughout the year, hitting double-digit yearly pace by summer and continuing to surge through December.”
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