The median rent in the U.S. fell for the 27th year in a row in October 2025, according to a new Realtor.com study. The median asking rent for 0–2 bedroom units in the 50 major metro areas was $1,696, $9 less than the previous month—representing a 1.7% decrease in rent from the previous year.
The rental market is currently experiencing a seasonal slowdown, as seen by the third straight month-over-month fall. With the median asking rent down 0.1% year-to-date compared to a 1.1% increase during the same period in 2024, 2025 has been a softer year overall. Rent declines have been moderate overall, though.
The median rent in the U.S. was just $63 (-3.6%) lower than the August 2022 peak, which occurred three years prior. It is noteworthy that it was still $245 (16.9%) higher than it was at the same time in 2019 (prior to the pandemic). However, this increase is not as great as the 49.8% increase in the median price-per-square-foot of for-sale home listings in the six years ending October 2025, and it is actually somewhat lower than the increase in overall consumer prices (up 26.1% in the six years ending September 2025). Put simply, despite shelter inflation and nominal rents both continuing to grow, real asking rents have actually dropped in the last six years.
U.S. Rental Trends Continue to Change Nationwide
For the 29th consecutive month, the median asking rent for two-bedroom apartments fell by -1.7% in October compared to the previous year. Nationwide, the median rent for two bedrooms was $1,877, which was $80 (-4.1%) less than the August 2022 peak. Larger unit rents, on the other hand, grew at the fastest rate during the previous six years, rising by $299 (18.9%).
In October 2025, the rent for one-bedroom apartments decreased by -1.9% year-over-year to $1,572, marking the 29th consecutive month of yearly decreases. It was $202 (14.7%) greater than in October 2019 but $88 (-5.3%) lower than the August 2022 peak.
For the 26th consecutive month in a row, the median asking rent for studios decreased by -2.1% in October 2025. In October, the typical studio rent was $1,407, a decrease of $74 (-2.1%) from its October 2022 peak. However, compared to six years earlier, the median asking rent for studios was still $143 (11.3%) higher.
National Rents by Unit Size, October 2025
| Unit Size | Median Rent | Rent YoY | Consecutive Months of Decline | Total Decline from Peak | Rent Change – 6 Years |
| Overall | $1,696 | -1.7% | 27 | -3.6% | 16.9% |
| Studio | $1,407 | -2.1% | 26 | -5.0% | 11.3% |
| 1-Bedroom | $1,572 | -1.9% | 29 | -5.3% | 14.7% |
| 2-Bedroom | $1,877 | -1.7% | 29 | -4.1% | 18.9% |
Rent search activity is anticipated to increase as tenants react to increased affordability following more than two years of lowering rentals. Understanding the sources of rental demand—whether from locals or those moving from other markets—is essential when examining Realtor.com cross-market rental data.
In general, a solid base of long-term local tenants supports constant rent growth because steady local demand acts as a buffer against more general market swings. New York had the largest local rental demand share in Q3 of 2025, with metro area residents accounting for 74.8% of online rental views. This percentage is about the same as pre-pandemic numbers from six years ago (74.5%), highlighting the market’s firmly established renter base.
Strong rent-stabilization safeguards and consistently high property prices, which keep homeownership rates low and encourage inhabitants to be renters, are reflected in the high percentage of local demand. As a result, even though the national median rent has been falling for more than two years, New York’s median asking rent increased 1.3% year-over-year in October 2025. Additionally, the market’s high cost of living and expensive rents make it difficult for newcomers to participate. Los Angeles, which combines stringent rent restrictions with an expensive for-sale market, exhibits similar patterns.
Top Five Markets Dominated by In-Market Renters
| Rank | Market | Share of views from local residents (2025Q3) | Share of views from out-of-market renters (2025Q3) | Share views from local residents (2019Q3) | Share of views from out-of-market renters (2019Q3) | Homeownership Rate (2025 Q2) |
| 1 | New York-Newark-Jersey City, NY-NJ | 74.8% | 25.2% | 74.5% | 25.5% | 49.4% |
| 2 | Chicago-Naperville-Elgin, IL-IN | 74.1% | 25.9% | 77.0% | 23.0% | 66.0% |
| 3 | Los Angeles-Long Beach-Anaheim, CA | 69.6% | 30.4% | 66.8% | 33.2% | 46.4% |
| 4 | Dallas-Fort Worth-Arlington, Texas | 67.9% | 32.1% | 73.2% | 26.8% | 64.9% |
| 5 | Miami-Fort Lauderdale-West Palm Beach, FL | 64.5% | 35.5% | 69.3% | 30.7% | 57.5% |
Chicago, Dallas, and Miami are more metro areas with sizable local renter bases. These markets include sizable populations of recent college graduates, many of whom continue to work in the area after graduation, increasing the proportion of long-term tenants. Although this strong local foundation helps to maintain market stability, it also makes it more challenging for newcomers to enter the rental market.
Conversely, out-of-market tenants dominate the rental markets in Nashville, Tennessee, Richmond, Virginia, and Raleigh, North Carolina. Higher homeownership rates and a smaller pool of local renters are a result of certain metro areas’ typically lower housing costs. At the same time, their renter-friendly surroundings and excellent employment prospects draw in newcomers. For instance, Nashville rated among the top rental markets nationally, indicating its increasing attraction to out-of-market renters, while Raleigh and Richmond have emerged as popular locations for recent college graduates looking for inexpensive living and professional advancement.
Meanwhile, Hartford, CT, and Providence, RI draw out-of-market renters from New York and Boston because to their relatively low rents, good commute connections to large metros, and extensive job opportunities in healthcare, insurance, and financial services.
Top Five Markets Dominated by Out-of-Market Renters
| Rank | Markets | Q3 2025 Share of Traffic from local residents | Q3 2025 Share of views from out-of-market renters | Q3 2019 Share views from local residents | Q3 2019 Share of views from out-of-market renters | Homeownership Rate (2025 Q2) |
| 1 | Raleigh-Cary, NC | 30.4% | 69.6% | 39.4% | 60.6% | 64.9% |
| 2 | Hartford-West Hartford-East Hartford, CT | 32.2% | 67.8% | 48.9% | 51.1% | 67.9% |
| 3 | Richmond, VA | 33.9% | 66.1% | 46.2% | 53.8% | 62.1% |
| 4 | Providence-Warwick, RI-MA | 34.0% | 66.0% | 47.7% | 52.3% | 65.7% |
| 5 | Nashville-Davidson–Murfreesboro–Franklin, TN | 35.2% | 64.8% | 41.6% | 58.4% | 70.9% |
Rent composition has changed in numerous markets over the last six years due to rising rents and flexible and remote employment arrangements. Twenty of the top 50 metro areas are now more driven by out-of-market demand than by local renters. These markets are shown in the figure below’s lower-right quadrant, with Detroit, Philadelphia, Sacramento, CA, San Francisco, and Charlotte, NC, showing the most noticeable shifts. It’s interesting to note that none of the markets changed from being driven by outsiders to being driven by local renters.
To read the full report, click here.
The post U.S. Rents Fall For 27th Consecutive Month as Housing Trends Shift first appeared on The MortgagePoint.
