Home Real Estate One- & Two-Bedroom Apartment Costs Explode Year-Over-Year

One- & Two-Bedroom Apartment Costs Explode Year-Over-Year

by Ozva Admin

The cost of covering a the most basic needs of the family has been going up. Although last month saw a slowdown in inflation and the cost of gasoline continues to fall below inflationary highs, the cost of other basic needs, from mortgages to groceries, means American families are still feeling the squeeze. A new report from Zumper, a real estate website for renters and homeowners, highlights another startling statistic for renters: Some cities have seen as much as 60% increase in the cost of monthly rent compared to last year.

as part of your National Rental Income Report, Zumper analyzes more than a million active listings across the country to calculate the average rental requested in the most populous cities. Doing so provides a “comprehensive view of the current state of the market,” and his latest report highlights just how hard people have been hit by skyrocketing rental prices.

How serious is the rent crisis?

The national median cost of renting a one-bedroom apartment increased 11.8% from last month’s all-time high, now standing at $1,486 per month. More than half of cities across the country now show double-digit percentage jumps in the cost of rent; several cities exceed 30% and some reach 60%.

The report also indicates that there were only two cities where one-bedroom rental prices fell: Des Moines, Iowa, was down 12% from a year ago, and Cleveland, Ohio, was down 5.4%.

For two-bedroom apartments, rent in Des Moines fell 8.6%, in Rochester, New York 5.5%, in Cleveland 5.2%, in Madison, Wisconsin 2.7% and in Gilbert , Arizona 1.1%.

New York City ranks first with the most expensive rent increases. The median rent for a one-bedroom apartment increased 39.9% year over year. To rent a two-bedroom apartment, expect to pay 46.7% more than last year. “Price increases are especially dramatic in Brooklyn, where two-bedroom apartments are up 61% year over year,” the Zumper report states.

This is important because, realistically, families are more likely to rent at least a two-bedroom apartment. And in many cases, two-bedroom rentals have had even higher costs since last year than one-bedroom rentals.

Cities where two-bedroom rentals saw the biggest jump year-over-year:

  1. New York, NY, with a median rent of $4,400, up 46.7%
  2. Miami, FL, with a median rent of $3,410, up 37.5%
  3. Knoxville, TN, with a median rent of $1,550, up 36.0%
  4. Seattle, WA, with a median rent of $2,810, up 32.5%
  5. Greensboro, NC, with a median rent of $1,160, up 31.8%
  6. Louisville, KY, with a median rent of $1,280, up 29.3%
  7. Tampa, FL, with a median rent of $2,040, up 28.3%
  8. Indianapolis, IN with a median rent of $1,270, up 27.0%
  9. Nashville, TN, with a median rent of $1,900, up 26.7%
  10. Albuquerque, NM, with a median rent of $1,300, up 26.2%

Cities where two-bedroom rents experienced the lowest year-over-year jump:

  1. Kansas City, MO, with a median rent of $1,200, unchanged
  2. Portland, OR with a median rent of $1,800, up 2.3%
  3. Sacramento, CA, with a median rent of $1,920, up 2.7%
  4. Shreveport, LA, with a median rent of $830, up 3.8%
  5. Philadelphia, PA, with a median rent of $1,770, up 4.1%

Cities where rent was reduced for two-bedroom rentals:

  1. Des Moines, IA, with a median rent of $960, down 8.6%
  2. Rochester, NY, with a median rent of $1,200, down 5.5%
  3. Cleveland, OH, with a median rent of $1,270, down 5.2%
  4. Madison, WI, with a median rent of $1,450, down 2.7%
  5. Gilbert, AZ, with a median rent of $1,870, down 1.1%

What does this all mean? “Current requested rents are simply out of reach for many Americans, especially young people,” Zumper CEO Anthemos Georgiades said of the report. “We’ve seen Zumper users sacrifice space, location, amenities and roommates for years; more recently, we have noticed that some are getting creative in their search for affordable housing. Many renters are turning to short-term rentals to fill a temporary gap in housing, especially if they can’t afford high deposits and moving fees.”

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