Home prices in America rose about 20% nationwide last year, compared to 2020. In some cities, the pace was double that. The increase was driven by low mortgage rates and a desire of people to leave large cities with expensive home prices to others where the median price of a home is lower. The migration also has been made possible by the fact that millions of Americans now work from home because of the COVID-19 pandemic.
Rents rose rapidly last year too. The median asking price for apartments with zero to two bedrooms averaged an increase of 10.1%. The December figure reported by Realtor.com was much greater at 19.3% in the same month of 2020. This pushed the monthly median rental figure across America’s 50 largest cities to $1,781.
The rental figure varied based on the size of the apartment. For December, the report showed: “Studio: $1,462, up 18.6% ($230) year-over-year; 1-bed: $1,651, up 19.3% ($267); 2-bed: $2,003, up 19.1% ($320).”
In three markets, rents rose over 30% in December from the same month in 2020. These were Miami at 49.8% to $2,850, Tampa at 35.0% to $2,038 and Orlando at 34.1% to $1,807.
The study also showed the median rent by city for December and covered all 50 cities. The lowest figure was Oklahoma City at $949, which was up 15.7%. No other city had a monthly rent figure of less than $1,000.
These are the 20 cities with the lowest rents:
| City | Rent | Change |
|---|---|---|
| Oklahoma City, Okla. | $949 | 15.7% |
| Louisville, Ky. | $1,181 | 16.2% |
| Kansas City, Mo. | $1,225 | 11.2% |
| Indianapolis, Ind. | $1,226 | 12.0% |
| Columbus, Ohio | $1,247 | 14.1% |
| Birmingham, Ala. | $1,249 | 22.2% |
| St. Louis, Mo. | $1,262 | 9.7% |
| San Antonio, Texas | $1,306 | 19.4% |
| Memphis, Tenn. | $1,324 | 29.4% |
| Rochester, N.Y. | $1,333 | 11.1% |
| Cleveland, Ohio | $1,352 | 16.9% |
| Houston, Texas | $1,389 | 15.9% |
| Cincinnati, Ohio | $1,400 | 15.9% |
| Detroit, Mich. | $1,400 | 12.1% |
| Richmond, Va. | $1,419 | 18.2% |
| Buffalo, N.Y. | $1,435 | 20.1% |
| Pittsburgh, Pa. | $1,500 | 18.5% |
| Virginia Beach, Va. | $1,503 | 18.1% |
| Milwaukee, Wis. | $1,527 | 11.0% |
| Raleigh, N.C. | $1,532 | 23.6% |
Click here to see the cities where buying a home is most expensive.
Find a Qualified Financial Advisor (Sponsor)
Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to 3 fiduciary financial advisors in your area in 5 minutes. Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests. If you’re ready to be matched with local advisors that can help you achieve your financial goals, get started now.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.