A new report from Zillow shows that rent growth is slowing nationally, including in Marylands largest metropolitan areas.
Rents are still rising nationally, but the pace has slowed to its weakest level in several years. According to a new report from Zillow, the typical U.S. rent reached $1,910 in March, up 1.8% from the prior year. The slowdown appears tied to more rental supply coming onto the market, softer post-pandemic demand, and affordability pressures limiting how much landlords can raise prices. In Maryland’s two largest metropolitan areas, Washington D.C. and Baltimore, rent growth appeared subdued. The Washington region appeared to mostly remain flat and Baltimore saw an average increase of about two percent.
Renters nationally may have a little more breathing room because wages grew faster than rents in March, but housing costs remain a major burden. Zillow found that the median household still spent 26.5% of its income on rent, and a household now needs about $76,400 a year to comfortably afford the typical rent, roughly 35% higher than before the pandemic. Single-family rents have been especially steep over that period, rising far more than multifamily rents since early 2020.
