There is a political party in New York called the Rent Is Too Damn High Party. However, New York is not the city with the steepest rent increase this year. In fact, New York is one of the cities where rent has been declining. But out of the 100 most populated US cities, 74 witnessed an increase in the rent this year. Here we take a look at the top 10 American cities with the steepest rent increases in 2019.
Apartment Guide recently conducted a study to find out which cities saw the steepest rent increases compared to last year, and by what percentage. They analyzed their internal data of one-bedroom apartment rent across cities and the US Census Bureau’s 2018 population estimate. They ranked the 100 most populous cities based on the percentage change in rent between August 2018 and August 2019. These cities had the largest percentage jump in the rent.
10- Sacramento, California
California is one of the most expensive real-estate markets in the United States. Sacramento might be a hundred miles away from Silicon Valley, but it’s ridiculously expensive. According to Apartment Guide, the average one-bedroom apartment rent in Sacramento went up by 10.7% from $1,394 in August 2018 to $1,561 in August 2019. It’s no longer a sleepy government town. It’s become a foodie city with a growing art scene.
9- Fort Worth, Texas
The average rent for a one-bedroom apartment in Fort Worth jumped 10.78% since last year to $1,163. The steep growth in rent can be attributed to its proximity to Dallas and the fact that it doesn’t have a lot of apartments compared to potential renters. Most of the new tenants in Fort Worth are job-seeking college-grads.
8- Long Beach, California
California is home to three of the top ten cities with the steepest rent increases this year. The average rent in Long Beach has been growing rapidly since at least 2014 due to the growing demand. It is one of the best places to live in California, with high standards of living and an excellent education system. According to Apartment Guide, the one-bedroom apartment rent in Long Beach rose 11.03% from $2,075 in August last year to $2,332 in August 2019.
7- Cleveland, Ohio
Cleveland has been attracting a lot of job-seekers from across Ohio, thanks to its strong economy. The growing demand from students is also fueling the rent increase. The average one-bedroom apartment rent is $1,364, up 11.13% from $1,212 in August last year.
6- Albuquerque, New Mexico
The Duke City has a population of 558,000. It is not that expensive to live in. The one-bedroom apartment rent in Albuquerque is $871, up 11.13% from last year’s $774. The city lies in the midst of the New Mexico Technology Corridor, meaning it has a cluster of technology companies and government institutions. There are a number of apartment buildings under construction in Albuquerque, which could help reduce the supply and demand gap in the coming years.
5- Fort Wayne, Indiana
Fort Wayne features among cities with the steepest rent increases, but it remains pretty affordable. The average rent for one-bedroom apartment is $841 per month, which is an 11.67% rise compared to last year’s $743. Apartment Guide expects the rent to keep soaring due to the influx of new residents and its high livability rate.
4- North Las Vegas, Nevada
This city in Clark County has an estimated population of 248,000. North Las Vegas is one of the fastest-growing cities in the United States. Amazon has two fulfillment centers in the city. The average one-bedroom apartment rent in North Las Vegas increased 13.7% from $903 in August last year to $1,046 in August 2019.
3- Anchorage, Alaska
Anchorage features among cities with the most working seniors. The one-bedroom apartment rent in Anchorage jumped a staggering 19.54% from $951 in August last year to $1,182 in August 2019. That’s quite surprising because Anchorage doesn’t have a booming technology industry or a steep influx of new residents. The city’s estimated population in 2018 was 291,000, almost the same as its 2010 population.
2- Stockton, California
Just like Sacramento, Stockton has seen a steep rise in rent as renters move beyond Silicon Valley in search of affordable housing. The one-bedroom apartment rent in Stockton is $1,349, which is a staggering 24.7% increase from $1,015 last year. It’s still better than the $4,000 a month rent in the San Francisco Bay area.
1- Newark, New Jersey
According to Apartment Guide, Newark had the steepest rent increase of all cities this year. The average rent for a one-bedroom apartment was $1,400 in August last year. It skyrocketed 30.16% to $2,004 in August this year. Newark retains the top spot for the second consecutive year. The steep rise can be attributed to a supply and demand problem. People who can’t afford to rent in New York are moving to Newark due to its relatively lower rent and proximity to New York City.