For three years the rental market has been sluggish, characterized by high vacancies and low rent growth. The for-sale market, on the other hand, has continued to get more expensive. The latest data can be found in a new Apartment List feature: Since 2020, home prices have outpaced rents (everywhere).
The National Outlook
Since 2020, apartment rents are up 20% nationwide, while home prices are up a staggering 55%. The gap emerged during two important periods:
- 2020. Rents sank in immediate response to the pandemic, while home prices skyrocketed as demand for single-family homes surged.
- 2023. Rents cooled again in response to rapid apartment construction, while homes continued to appreciate in value despite higher interest rates.
The Local Outlook
This report includes data for 20 large housing markets, and home prices have grown significantly faster than rents in every single one.
- In Charlotte specifically, rents have increased 18% since 2020, while home prices have surged 70%.
- Charlotte is home to the nation’s widest gap between rent growth and price growth: 52 percentage points.
- And the gap continues to widen, as in the past 12 months Charlotte rents have fallen 3% while home prices continue to rise.
You can explore the data using the interactive chart in our new report: Since 2020, home prices have outpaced rents (everywhere).
