Nationally, single-family rent growth surged 14% year-over-year in April, according to real estate research firm CoreLogic. The supply-demand mismatch continues to drive rents higher, as many parts of the country print double-digit jumps in monthly rent prices.
Among large cities, Miami recorded a stunning 41% increase in single-family rent growth for April. It was the most significant increase in April rent across all major metro areas CoreLogic tracks. The second was Orlando, with a 25.8% increase.
It’s crucial to note Miami and Orlando are both located in Florida and had the largest rental price gains out of all US cities. The reason is supply shortages due to a large influx of people piling into the Sunshine State from high taxed, violent metro areas in the Northeast. We pointed out last month that New Yorkers are still panic exiting the city for Florida.
WSJ recently noted Miami locals are irritated by New Yorkers flooding their most desirable neighborhoods, like Brickell, Edgewater, and Downtown, and driving up rents.
Molly Boesel, the principal economist at CoreLogic, was quoted by Bloomberg as saying, “single-family rent growth will continue to increase at a rapid pace throughout 2022.”
Rents increasing at the fastest pace in decades makes housing costlier than ever for Americans. Compound that with the highest consumer prices in four decades and today’s souring economic environment has devastated the working poor. A recent Gallup poll found low wages and housing costs were on the top of the minds of Americans.
Finally, those living paycheck to paycheck should avoid large metro areas with skyrocketing living costs to survive the inflationary storm.