Nearly Every U.S. Metro Has Higher Rental Prices than Pre-Pandemic, Despite Months of Declines

Core Insights - Rents in the U.S. have declined for 20 consecutive months, with the median asking rent now at $1,694, which is$65 lower than the peak in 2022 [1][2] - Despite the decline, rents remain significantly higher than pre-pandemic levels, with a 20.2% increase from March 2019 to March 2025 [3] - New tariffs on building materials could threaten the ongoing decline in rents and impact multifamily housing supply by increasing construction costs [4][9] Rental Trends - The median asking rent has decreased by $65 monthly and over$700 annually, but remains above 2019 levels in nearly all major U.S. metros [2] - San Francisco is the only major market where the median asking rent is below pre-pandemic levels [3] - Markets with the fastest growth in permitted multifamily homes, such as Milwaukee, Oklahoma City, and Memphis, are expected to face the greatest impacts from new tariffs [5][9] Market Analysis - The increase in multifamily building and permitting has contributed to the decline in rents, but this trend is at risk due to rising construction costs from tariffs [2][4] - The following markets have seen significant growth in permitted multifamily units: Milwaukee (1,884 units), Oklahoma City (581 units), and Memphis (1,089 units) [7] - Overall, the national median rent is $1,694, with specific unit sizes showing varied year-over-year changes, such as studio rents at$1,407 and 2-bedroom rents at $1,878 [10]