BiggerPockets Daily Rent Price Growth Continues Its Slowdown
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Jun 17, 2025 Rent growth is decelerating, providing renters with greater leverage and prompting investors to adjust their tactics. While single-family and multifamily rents are still rising, the rate is slowing, and rent concessions are prevalent. With affordability challenges and increased inventory, real estate professionals must prepare for extended lease-up times, tighter profit margins, and higher tenant turnover. The interplay of market oversupply and economic factors is reshaping the landscape, compelling a reassessment of strategies for success.
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Slowing National Rent Growth
- National rent growth is slowing, with May showing only 0.4% month over month increase.
- This signals a market transition requiring investors to price more conservatively and expect less appreciation.
Renters' Growing Negotiating Power
- Renters gain negotiating power as inventory rises and concessions increase.
- Offering free rent months, reduced deposits, and flexible leases has become common for landlords.
Avoid Vacancies To Protect Income
- Investors should focus on minimizing vacancies as high supply markets reduce pricing power.
- Increase lease incentives and offer competitive terms to keep occupancy high during this market.