Reuters

Metros where housing is already expensive, especially in California and the Pacific Northwest, are seeing the biggest increases in average rents.

U.S. housing prices are up for the first time in a while, prompting a number of commentaries about how home prices may have finally begun to bounce off the bottom. As it turns out, though, rents are increasing faster.

That's according to the just released Housing and Rental Price Monitors from Trulia, developed by their chief economist and occasional Cities contributor Jed Kolko. He's calculated that in 22 of the 25 largest U.S. rental markets, rents are outpacing home prices.

Housing prices are rising the most, not surprisingly, in markets that took the biggest hits. Phoenix and Miami have seen big increases, as have Cape Coral and West Palm Beach. Housing prices have also come back up in Detroit and nearby Warren-Troy-Farmington Hills, as well as Pittsburgh. Denver and Orlando also number among the top ten, as well as San Jose – the Silicon Valley area – where housing prices did not dip that much but continue to be under pressure from the tech boom.


On the other hand, rents are rising the most in metros where housing is expensive, especially in California and the Pacific Northwest. San Francisco leads the way in rent increases, making a very expensive city even more expensive, followed by nearby Oakland, then Denver, Miami (where housing prices have surged recently), and Boston. Seattle, Portland, Philadelphia, Houston, and New York round out the top ten metros where rents have increase the most.

Read the rest of Kolko's analysis here.

About the Author

Most Popular

  1. The Presidio Terrace neighborhood
    POV

    The Problem of Progressive Cities and the Property Tax

    The news that a posh San Francisco street was sold for delinquent taxes exposes the deeper issue with America’s local revenue system.

  2. Times Square, 1970.
    Life

    The New York That Belonged to the City

    Hyper-gentrification turned renegade Manhattan into plasticine playground. Can the city find its soul again?

  3. "Gift Horse"—a skeletal sculpture of a horse by artist Hans Haacke—debuted on the Fourth Plinth in London's Trafalgar Square in 2015.
    Design

    What To Do With Baltimore's Empty Confederate Statue Plinths?

    Put them to work, Trafalgar Square style.

  4. POV

    Grenfell Was No Ordinary Accident

    The catastrophic fire that killed at least 80 in London was the inevitable byproduct of an ideology that vilified the poor.

  5. Equity

    The Complex Relationship Between Innovation and Economic Segregation

    It’s not just the tech industry that’s responsible for America’s stratifying cities.