The rental market in the United States is experiencing a resurgence in rent growth, with prices showing signs of acceleration. Despite this trend, some major cities are offering more affordable apartment options. According to recent data from Zumper, rent growth has been on the rise over the past few months. However, there are still several large U.S. cities where tenants can find relatively cheaper living spaces. This article explores these cities and provides insights into the current state of the rental market.
Recent reports suggest that the rental market may be heading towards another period of rapid price increases. Zumper's latest data indicates that one-bedroom apartments were 2.9% more expensive year-over-year in February 2025, while two-bedroom units saw an even steeper increase of 3.7%. Although rents have remained relatively stable during the winter months, experts predict that demand will pick up as spring approaches. Yet, amidst this potential surge, certain metropolitan areas continue to offer attractive deals for renters.
In the face of rising rent trends, it's important to note that not all regions are affected equally. For instance, cities in the Northeast and Midwest, which have fewer available apartments, have seen more pronounced rent hikes. Conversely, cities in the Sun Belt region, known for their higher inventory, have experienced modest declines in rent prices. This divergence highlights the complexity of the national rental landscape.
To provide a clearer picture, Business Insider analyzed Zumper’s data and identified twelve cities where one-bedroom apartments are below the national median rent of $1,525 and have shown at least a 1% decrease from February 2024. These cities include Durham, North Carolina; Milwaukee, Wisconsin; Charlotte, North Carolina; Baltimore, Maryland; Orlando, Florida; Boise, Idaho; Austin, Texas; Las Vegas, Nevada; Knoxville, Tennessee; Irving, Texas; Glendale, Arizona; and Minneapolis, Minnesota. Each city offers varying degrees of cost savings compared to the national average.
For example, Durham stands out with a one-bedroom median rent of $1,340, representing a significant 7.6% drop from the previous year. Similarly, Milwaukee boasts a median rent of just $1,000, offering substantial savings for renters. Other cities like Baltimore and Las Vegas also present notable cost advantages, making them appealing choices for those seeking more affordable living options.
While the overall trend points towards increasing rents, the availability of affordable apartments in these cities provides a glimmer of hope for tenants. The coming months will likely see increased competition in the rental market, particularly during the busy spring season. Nonetheless, for now, renters in these select cities can enjoy relatively lower costs, providing a temporary respite from the broader trend of rising prices.