Why Your Rent Is Rising Faster Than Inflation

Among the people I know who are renters -- people who are not shielded by strict rental control -- this question regularly comes up: The last time you renewed your lease, how much did your rent increase?

The answer is invariably of interest because it conveys something about the rental market that is more precise – and more personal – than a general sampling of Craigslist ads. Sure, if you're searching for a new place, you can get a good sense of the unspoken consensus that landlords are now pricing two-bedrooms near the subway at about $2,400 a month. But what does it mean when your two-bedroom, where you've been living for the last two years, suddenly costs $75 more this November than it did last November, sans renovations? Clearly, that's steeper than the rise of inflation.