The Hottest Rental Markets Had 20+ Renters Competing For An Residence In 2022

Lease Café has launched its 2022 year-end report, which appears on the best rental markets this yr.

Though condominium building is at a historic excessive, discovering a rental in 2022 has been difficult. Nationally, the typical renter needed to compete with 14 different condominium seekers to safe a rental, which didn’t keep listed longer than one month.

With greater than two-thirds of renters renewing their leases and a mean occupancy charge of greater than 95%, this yr’s rental market was aggressive, regardless of the autumn slowdown. And with demand climbing up in nearly each metropolitan space, renters had the toughest time discovering an condominium in Miami, Orlando, Grand Rapids and North Jersey.

Listed here are some highlights from the report:

Miami-Dade, Florida, was the most well liked rental market in 2022, resulting from a excessive occupancy charge of 97.5% and a staggering 75% of renters deciding to remain put and renew their leases. As a consequence, regardless of the world’s provide of residences rising by 2.8% in 2022 in comparison with the earlier yr, a document 32 renters competed for one vacant condominium, which acquired snatched in 25 days, on common.

The truth is, Florida was this yr’s renting hotspot: 5 of the nation’s hottest locations to hire have been within the Sunshine State, with Orlando being the third best rental market nationwide, adopted by Southwest Florida, Broward County and Tampa.

Residence searching intensified within the Midwest, particularly in areas with gradual building like Grand Rapids, Milwaukee, Omaha and Lansing – Ann Arbor, all of which proceed to draw younger professionals from pricier metros throughout the nation.

Regardless of a modest 0.8% uptick in provide, renters in Grand Rapids confronted the second hardest market this yr: at least 18 folks competed for a vacant condominium, which acquired crammed in 28 days. In the meantime, Grand Rapids’ occupancy topped at nearly 97%, prompting round 70% of renters to resume their leases as an alternative of in search of a brand new place.

The Northeast continued to lure distant staff searching for further area and higher offers — a lot in order that seven northeastern markets have been among the many 20 hottest. Harrisburg, the place nearly no new residences have been added this yr, emerged because the regional chief, rating 4th nationwide for competitivity. This was primarily resulting from its decrease price of dwelling in comparison with lots of the bigger metro areas within the Northeast, in addition to its family-friendly neighborhood and proximity to the good open air. One other benefit to dwelling in Harrisburg is its relative proximity to Philadelphia, Pittsburgh and Baltimore.

Central Jersey was twice extra aggressive than Manhattan this yr. The world had the best lease renewal charge within the nation (85%) and a mean occupancy charge near 97% (all of the whereas its provide of residences elevated by a mere 0.9%). That stated, discovering an condominium for hire was fairly difficult for most individuals within the space, as 15 renters competed for an condominium, on common. North Jersey renters have been in an analogous scenario, regardless of a rise of two.1% in residences.

On the West Coast, California’s low-supply Orange County was the most well liked renting spot, adopted by San Diego, each of which continued to draw renters from Los Angeles and San Francisco. The truth is, Orange County and San Diego have been the one California markets to succeed in our high 20 this yr.

Orange County was the eighth best rental market nationwide. The low improve in provide (0.6%) did not accommodate condominium seekers, principally e-commerce staff, in search of leases in a metropolis the place lower than 3% of the residences have been vacant. Equally, a mean of twenty-two renters competed for a vacant condominium in San Diego, which ranked thirteenth nationwide.

Though massive metros have a tendency to supply extra jobs and better salaries, that doesn’t imply that smaller areas can’t be simply as aggressive in their very own proper— and Fayetteville, Arkansas is the right instance. With a record-high occupancy of 98.3% and greater than three-quarters of condominium dwellers opting to remain put this yr, renters right here had an especially robust time discovering an condominium for hire in Fayetteville. On common, it took just below two weeks for a vacant unit in Fayetteville to turn into occupied this yr, with an astounding 28 potential renters competing for one condominium.

Right here, massive employers just like the College of Arkansas and Walmart, which is headquartered in close by Bentonville, present loads of alternatives for each locals and newcomers. On high of that, town is nestled within the Ozark Mountains, thereby making it an important place to stay for nature lovers.

The second best small market was Lehigh Valley, Pennsylvania, the place a number of distant staff fleeing tighter restrictions in Philadelphia, New York Metropolis and New Jersey throughout the pandemic discovered bigger residences that higher match their budgets. On the identical time, surging house costs compelled many potential patrons to maintain renting till they may resume their house-hunting. Consequently, greater than 80% of the folks dwelling in rental residences in Lehigh Valley selected to remain in place this yr.

Equally, the increasing work-from-home development led hundreds of Boston, Manhattan and Washington, D.C, residents to rethink their housing choices within the final two years. Lots of them selected to relocate to peaceable Portland, Maine, in quest of a slower tempo of life inside attain of breathtaking surroundings. This triggered the typical rental in Portland to be crammed after 26 days, with a document 68 potential renters competing for each vacant condominium this yr. After all, in all honesty, Bostonians have all the time had a comfortable spot for this charming nook of New England.

Different small markets that have been extremely aggressive in 2022 included Lafayette, Indiana, Asheville, North Carolina, Madison, Wisconsin, Tulsa, Oklahoma, Windfall, Rhode Island, Knoxville, Tennessee, North Central Florida, Little Rock, Arkansas, Columbus, Georgia, Fort Wayne, Indiana, Chattanooga, Tennessee, Wichita, Kansas, Albany, New York, South Bend, Indiana, Fayetteville, North Carolina and Albuquerque, New Mexico.