Asking Rents Fell 1 Percent Year Over Year Nationally: Redfin Report

A rental vacancy sign is posted in front of an apartment in San Francisco, on June 13, 2018. Justin Sullivan/Getty Images

The median asking rent in the United States dropped by 1 percent year over year in April to $1,625, marking the steepest annual decline since February 2024, according to a new report from Redfin, one of the country’s largest real estate brokerage websites.

The drop puts median rents $80 below their August 2022 high of $1,705. While rents typically rise in the spring, Redfin noted that this year’s month-over-month increase of 1.2 percent came amid a broader cooling trend.

“Asking rents are sluggish because there are more apartments for rent than people who want to rent them,” said Redfin Senior Economist Sheharyar Bokhari. “Renter demand is strong, but growth in apartment supply is even stronger because multifamily construction surged in the wake of the pandemic moving frenzy. Permits to build apartments have started to taper off, though, so asking rents could rebound in the coming months.”

Vacancy rates for buildings with five or more units hit 8.2 percent in the first quarter of 2025—the highest level in four years. Less than half of new apartment units are leased within three months of being listed, Redfin said.

Austin, Texas, saw the biggest rent drop of any major metro area, falling 9.6 percent year over year to $1,399—about $400 below its previous high. Rents also dropped in Minneapolis (7.3 percent), Portland (5.3 percent), and San Diego and Raleigh (5.2 percent).

“Many people in Austin are finding that it’s a lot cheaper to rent than buy,” said local Redfin Premier real estate agent Andrew Vallejo. “You could buy a home and have a monthly mortgage payment of $3,200, but the same home will rent for $1,900. Unless the buyer has a good amount of money for a down payment, renting is way less expensive.”

The report notes that Texas was one of the states that built homes during a pandemic-era building boom, which is one reason Austin saw such a large decline in rents.

The growing affordability gap between renting and buying is also widening, according to the report. Redfin estimates that the typical homebuyer needs to earn more than $50,000 more than the typical renter to cover monthly housing costs—largely due to elevated mortgage rates.

Not all cities saw declines. Asking rents climbed most in Cincinnati (8.7 percent), Pittsburgh (7.5 percent), Baltimore (5.9 percent), Birmingham (5.8 percent), and Washington (5.2 percent).

Among apartment types, two-bedroom units posted the largest drop, falling by 1.5 percent to $1,699. Studio and one-bedroom rents declined by 1.2 percent to $1,481, while three-bedroom and larger apartments fell by 1 percent to $1,999.

Despite April’s year-over-year drop, Redfin noted that rents have remained relatively flat for more than a year. April marked the 14th consecutive month in which national rents moved less than 1 percent up or down annually—far less volatile than the double-digit swings seen during the pandemic.