Housing is one of our biggest monthly expenses and it’s going up every year. According to recent research from Redfin, the median rent in the U.S. is now $1,634, up 20% from pre-pandemic rates. Rents have even increased a lot in just the last year, with Consumer Price Index data showing people are paying nearly 5% more to rent the same apartment they did this time a year ago.
With renters making up about a third (34%) of all U.S. households, that’s a lot of people paying more. Hikes like these are sending some folks to cheaper areas, Bank of America reports. While it’s not a new trend - lots of Americans moved to places with cheaper rent during the pandemic when they could work remotely - the continuing rent increases have more people moving for lower housing costs.
- Bank of America analyzed customer data to find the number of address changes to track moving trends.
- They found the Midwest is a popular destination for movers, as rents are relatively low there compared to the rest of the U.S., and Southern states are also seeing an influx of new residents because of their rent prices.
The Top 8 Cities Where People Are Moving For Cheaper Rent
- Cleveland, Ohio - Median asking rent: $1,350
- Indianapolis, Indiana - Median asking rent: $1,396
- Las Vegas, Nevada - Median asking rent: $1,475
- Columbus, Ohio - Median asking rent: $1,459
- Jacksonville, Florida - Median asking rent: $1,485
- Austin, Texas - Median asking rent: $1,503
- Phoenix, Arizona - Median asking rent: $1,505
- Nashville, Tennessee - Median asking rent: $1,561
Source: Business Insider