Zillow says all 50 of the largest metros have increased renter shares
More people in America’s 50 largest metros are renting homes with most people doing so in 29 of those markets.
An analysis by Zillow reveals that the renter rate increased from 31% to 36% between 2006 and 2016 and with rising home prices, more renters are struggling to become first-time homebuyers.
"The share of US households that rent surged in the wake of the Great Recession, as millions of families were foreclosed upon and younger adults either chose to or had no choice but to rent for longer," said Zillow senior economist Aaron Terrazas. "Renting remains more common years after the recession ended and after a historically long national economic expansion.”
He added that some of this shift is down to lifestyle choices, such as young adults delaying marriage and starting families and a strong preference for living in urban.
But economics also plays a part with renters, including the many who lost their homes in the recession, unable to afford to make the jump to homeownership.
“The homeownership rate is slowly rising – the most recent data show a sharp surge in young adult homeownership over the past two years – but it will likely take many years, if ever, for it to get back to its lofty pre-recession peaks," added Terrazas.
Where renting dominates
Miami, New York, and Boston have the greatest share of renter households (almost 70% of all households in Miami and New York, 65% percent of all households in Boston). The renter rate in Miami rose 6 percentage points over the past 10 years.
In Memphis, 56% of all households are renter households, up 11 percentage points since 2006. The renter rate in Las Vegas is just over 47%, up from 38% 10 years prior.
|
City |
Renter |
Renter |
Renter |
Percentage |
Zillow Rent Index (ZRI) |
YoY |
Zillow Home |
YoY ZHVI |
|
USA |
32.5% |
31.1% |
36.3% |
5.2 |
$ 1,440 |
1.3% |
$ 217,300 |
8.3% |
|
New York, New York |
69.8% |
65.6% |
68.0% |
2.4 |
$ 2,279 |
-1.5% |
$ 674,500 |
7.8% |
|
Los Angeles, California |
61.4% |
60.0% |
64.1% |
4.1 |
$ 2,881 |
3.5% |
$ 677,400 |
8.7% |
|
Chicago, Illinois |
56.2% |
50.7% |
56.3% |
5.6 |
$ 1,601 |
-2.6% |
$ 227,100 |
3.0% |
|
Houston, Texas |
54.2% |
53.5% |
56.9% |
3.3 |
$ 1,429 |
1.6% |
$ 178,300 |
6.3% |
|
Philadelphia, Pennsylvania |
40.7% |
41.8% |
47.9% |
6.1 |
$ 1,214 |
0.7% |
$ 149,600 |
11.7% |
|
Phoenix, Arizona |
39.3% |
39.4% |
47.0% |
7.5 |
$ 1,294 |
1.8% |
$ 231,500 |
9.6% |
|
Las Vegas, Nevada |
40.9% |
38.2% |
47.3% |
9.0 |
$ 1,293 |
3.9% |
$ 260,100 |
15.9% |
|
San Antonio, Texas |
41.9% |
39.2% |
46.4% |
7.2 |
$ 1,272 |
1.4% |
$ 167,600 |
8.0% |
|
San Diego, California |
50.5% |
49.5% |
54.3% |
4.8 |
$ 2,569 |
1.8% |
$ 622,300 |
7.1% |
|
Dallas, Texas |
56.8% |
53.3% |
59.2% |
5.9 |
$ 1,451 |
2.9% |
$ 192,300 |
14.0% |
|
San Jose, California |
38.2% |
38.3% |
43.1% |
4.8 |
$ 3,440 |
3.5% |
$ 1,106,600 |
24.4% |
|
Jacksonville, Florida |
36.8% |
37.0% |
43.4% |
6.4 |
$ 1,193 |
3.1% |
$ 165,300 |
10.1% |
|
San Francisco, California |
65.0% |
60.7% |
62.1% |
1.4 |
$ 4,219 |
-1.4% |
$ 1,358,500 |
9.8% |
|
Indianapolis, Indiana |
41.3% |
40.6% |
47.6% |
7.0 |
$ 1,099 |
2.6% |
$ 129,700 |
9.9% |
|
Austin, Texas |
55.1% |
52.7% |
55.1% |
2.4 |
$ 1,750 |
-2.0% |
$ 348,800 |
7.8% |
|
Fort Worth, Texas |
44.1% |
39.5% |
42.9% |
3.4 |
$ 1,435 |
3.5% |
$ 184,000 |
11.2% |
|
Columbus, Ohio |
50.9% |
49.5% |
56.0% |
6.5 |
$ 1,184 |
4.9% |
$ 146,100 |
9.2% |
|
Memphis, Tennessee |
44.1% |
45.1% |
56.1% |
11.0 |
$ 835 |
-0.6% |
$ 82,800 |
8.5% |
|
Charlotte, North Carolina |
42.5% |
39.6% |
47.8% |
8.2 |
$ 1,351 |
3.1% |
$ 212,800 |
11.9% |
|
El Paso, Texas |
38.6% |
38.7% |
42.1% |
3.4 |
$ 985 |
0.0% |
$ 123,900 |
3.8% |
|
Boston, Massachusetts |
67.8% |
61.4% |
65.0% |
3.6 |
$ 2,629 |
1.8% |
$ 588,200 |
7.5% |
|
Seattle, Washington |
51.6% |
48.1% |
53.9% |
5.8 |
$ 2,486 |
-1.6% |
$ 764,200 |
11.3% |
|
Baltimore, Maryland |
49.7% |
49.3% |
54.3% |
4.9 |
$ 1,278 |
-1.2% |
$ 117,300 |
34.7% |
|
Denver, Colorado |
47.5% |
44.4% |
50.0% |
5.6 |
$ 2,060 |
3.8% |
$ 414,700 |
7.3% |
|
Washington, District of Columbia |
59.2% |
54.2% |
60.8% |
6.5 |
$ 2,539 |
-3.6% |
$ 568,600 |
5.5% |
|
Nashville, Tennessee |
22.1% |
40.3% |
47.0% |
6.7 |
$ 1,548 |
0.2% |
$ 255,600 |
10.7% |
|
Milwaukee, Wisconsin |
54.7% |
52.1% |
59.2% |
7.0 |
$ 1,038 |
3.6% |
$ 113,900 |
10.7% |
|
Tucson, Arizona |
46.5% |
45.1% |
49.5% |
4.4 |
$ 1,140 |
3.6% |
$ 180,900 |
8.6% |
|
Portland, Oregon |
44.2% |
42.9% |
48.0% |
5.1 |
$ 1,848 |
-2.4% |
$ 425,500 |
1.1% |
|
Oklahoma City, Oklahoma |
40.5% |
38.0% |
40.8% |
2.9 |
$ 1,048 |
-1.7% |
$ 126,000 |
1.5% |
|
Omaha, Nebraska |
40.4% |
41.0% |
43.4% |
2.4 |
$ 1,298 |
-1.1% |
$ 167,400 |
8.0% |
|
Albuquerque, New Mexico |
39.6% |
38.7% |
39.6% |
0.9 |
$ 1,203 |
0.7% |
$ 192,600 |
5.7% |
|
Fresno, California |
49.3% |
50.2% |
53.5% |
3.3 |
$ 1,301 |
4.8% |
$ 230,600 |
7.6% |
|
Sacramento, California |
49.9% |
48.0% |
52.4% |
4.5 |
$ 1,625 |
5.0% |
$ 317,100 |
7.8% |
|
Mesa, Arizona |
33.5% |
32.2% |
40.7% |
8.5 |
$ 1,339 |
3.7% |
$ 238,600 |
7.9% |
|
Long Beach, California |
58.9% |
56.6% |
62.3% |
5.7 |
$ 2,445 |
1.3% |
$ 586,000 |
6.5% |
|
Kansas City, Missouri |
42.3% |
40.6% |
47.0% |
6.4 |
$ 1,088 |
4.9% |
$ 139,100 |
11.5% |
|
Virginia Beach, Virginia |
34.4% |
30.4% |
37.8% |
7.4 |
$ 1,544 |
0.5% |
$ 260,000 |
1.6% |
|
Colorado Springs, Colorado |
39.2% |
35.6% |
42.5% |
6.9 |
$ 1,511 |
4.9% |
$ 276,200 |
10.3% |
|
Atlanta, Georgia |
56.3% |
50.4% |
58.7% |
8.3 |
$ 1,538 |
2.8% |
$ 241,200 |
14.1% |
|
Miami, Florida |
65.1% |
63.9% |
69.9% |
6.1 |
$ 2,012 |
-1.0% |
$ 329,900 |
4.5% |
|
Oakland, California |
58.6% |
56.3% |
61.7% |
5.4 |
$ 2,941 |
1.5% |
$ 750,800 |
9.2% |
|
Tulsa, Oklahoma |
44.4% |
45.5% |
50.7% |
5.3 |
$ 936 |
-2.2% |
$ 119,400 |
5.9% |
|
Cleveland, Ohio |
51.5% |
50.5% |
58.2% |
7.7 |
$ 844 |
0.6% |
$ 53,400 |
21.1% |
|
Honolulu, Hawaii |
53.1% |
49.2% |
58.3% |
9.0 |
$ 2,296 |
-3.8% |
$ 675,000 |
3.7% |
|
Minneapolis, Minnesota |
n/a |
45.9% |
53.3% |
7.4 |
$ 1,635 |
3.2% |
$ 259,200 |
8.4% |
|
Baton Rouge, Louisiana |
47.6% |
47.2% |
53.2% |
6.0 |
$ 1,302 |
-3.1% |
$ 164,700 |
9.9% |
|
New Orleans, Louisiana |
53.5% |
49.3% |
53.7% |
4.4 |
$ 1,340 |
-6.2% |
$ 186,000 |
2.5% |
|
Arlington, Texas |
45.3% |
41.9% |
44.5% |
2.6 |
$ 1,498 |
2.8% |
$ 194,800 |
10.3% |
|
Raleigh, North Carolina |
48.4% |
46.5% |
50.9% |
4.4 |
$ 1,410 |
0.6% |
$ 262,200 |
5.7% |
