National Multifamily Rent Growth Breaks Records in June, Yardi Matrix Reports

Historic year-over-year increase and $23 national jump last month headline unprecedented market movement

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Jul 21, 2021, 08:00 ET

SANTA BARBARA, Calif., July 21, 2021 /PRNewswire/ -- Multifamily asking rents jumped an average of 6.3% year-over-year in June, the largest leap ever recorded by Yardi® Matrix, a leading industry data tracker. The national average apartment rent increased $23 last month to $1,482, another record, and single-family home rents were up 11% year-over-year.

"These are the largest year-over-year and monthly increases in the history of our data set," said Jeff Adler, vice president of Yardi Matrix. Analysts point to increased household savings and government stimulus funding as factors that have kept the multifamily industry stable during the pandemic period, and now able to rebound as the economy improves.

The newly released data is an economic indicator of post-pandemic recovery across the U.S. The largest increases were documented in the lifestyle apartment sector. Renters are also now returning to many gateway markets that saw outbound migration for most of the last year. A supercharged housing market is also pricing out some potential buyers, leading residents to remain in apartments.

"Rent growth will not be able to continue at these levels indefinitely, but conditions for above-average growth are likely to persist for months," Adler said. The increases reflect growth in what landlords are asking for unleased apartments. Renters renewing leases may also be seeing increased rents, but at lower levels.

Migration is pushing up rents in Southwest and Southeast metros like Phoenix (17.0%), Tampa and California's Inland Empire (both 15.1%), Las Vegas (14.6%) and Atlanta (13.3%). These metros were lower cost compared to larger gateway metros.

Media interested in expert analysis of the report can contact Chris Nebenzahl, editorial director at Yardi Matrix, at [email protected] for interview requests.

Yardi Matrix offers the industry's most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate. Yardi Matrix covers multifamily, student housing, industrial, office and self storage property types. Email [email protected], call (480) 663-1149 or visit yardimatrix.com to learn more.

About Yardi
Yardi^® develops and supports industry-leading investment and property management software for all types and sizes of real estate companies. Established in 1984, Yardi is based in Santa Barbara, Calif., and serves clients worldwide. For more information on how Yardi is Energized for Tomorrow, visit yardi.com.

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