The Sacramento area continues to lead the nation in rent increases, even while rents continue to fall in larger cities around the country, according to a new report from Realtor.com.
Monthly rent for one and two-bedroom apartments climbed by 12.4 and 9.1 percent, respectively. Even worse, studio apartment rent rates climbed by 20.3 percent.
By comparison, San Francisco had rates fall by 33.8%, 25.5%, and 22.8% for studio, one-bed, and two-bed apartments.
The national median rent for those units is $1,309 for studios, $1,483 for one-bed and $1,861 for two-bed apartments.
“With more flexibility and more time at home, renters have sought out extra space, driving up rents in the suburbs and less dense markets. As vaccines are being rolled out nationwide, the question is, how much longer will these trends continue? What’s clear, is that the mantra of real estate being local very much applies to rents, not just home prices.”Danielle Hale, Realtor.com chief economist
The report says that major markets such as San Francisco and Manhattan have shown double-digit declines since last year, but increases in smaller, less-dense areas is what has kept national rents increasing.
Pandemic-driven, Work-from-home policies is a likely driving factor.