July 15th, 2025

Rentometer has published its latest Single-Family Rentals Report, covering the first six months of the year and highlighting rent prices and trends across the U.S.

The report focuses on median rents for 3-bedroom single-family homes in over 1,100 cities nationwide. Single-family home rentals house 41% of the U.S. renter population, and three-bedroom single-family homes are a preferred option for many families and investors.

As of this release, Rentometer has updated its methodology to report median values rather than averages, offering a better snapshot of the market. Our data set includes over 10 million new rental records annually, based on advertised asking rents, which serve as the foundation for our market reports.

Key Takeaways

• Rent Growth Picks Up Again But Remains Below the Inflation Rate and Average Wage Growth: Median single-family rents rose to $2,135, an increase of $36 or 1.7% compared to the same period last year.
• Midwest and Northeast Rents Grew the Fastest: Rents in the Midwest increased the most (+6.1%), followed by the Northeast (+4.6%) and the Pacific region (+3.1%). Median rents in the Rocky Mountain region rose by 1.1%, while rents in the Southwest remained flat.
• Vacancies Hit Record Highs: Vacancy rates for single-family homes continued their upward trend in 2025, reaching 6.3% in the first quarter, the highest level since 2016.
• Boston, MA saw the highest annual rent growth among large cities, with 3-bedroom single-family rents averaging $4,500—up 12.5% year-over-year. The increase was partly due to larger homes listed and a low rental inventory, making the data more sensitive to fluctuations. Staten Island, NY (+9.4%) and Long Beach, CA (+9.0%) followed.
• Several large U.S. cities saw rents decline. Fort Wayne, IN recorded the largest year-over-year drop among cities with populations of 250,000 or more, with rents down 6.4%, followed by Dallas, TX (-6.3%) and Santa Ana, CA (-5.0%).
• Income Needed to Rent a 3-Bedroom Single-Family Home Tops $200,000 in Some Coastal Markets: Single-family rents have risen 39.5% over the past five years, compared to a 23% increase in median household income. As a result, the income needed to rent a typical SFR has surged—reaching nearly $200,000 in high-cost coastal markets like San Francisco.

Midwest Leads Rent Growth Rebound, But National Gains Still Trail Inflation

In the first half of 2025, median asking rents for single-family homes rose 1.7% year-over-year, reaching $2,135. While this marks a one percentage point increase over the 0.7% growth recorded in the first half of 2024, it still lags behind both the national inflation rate and average wage growth—indicating a slight decline in real rental income for investors and improved affordability for renters. Rent growth also remains well below the elevated levels observed during the first two post-pandemic years—and even below the typical 2–4% historical growth range—suggesting continued softness in the market and slower-than-usual gains for investors.

Regionally, the Midwest—the most affordable area for single-family renters—has seen a strong rebound. Median rent growth surged to 6.1% year-over-year, up from 3.4% last year, matching the pace seen two years ago and leading all U.S. regions...

Click on the PDF link below to read the full report...

Rentometer Mid-Year Report 2025 - National Trends in Single-Family Rental Markets - July 15th, 2025.pdf

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