Rent is ticking up, but so are the deals
PR Newswire
SEATTLE, July 23, 2026
Although rent growth has accelerated, the share of listings offering an incentive remains elevated
- The typical U.S. asking rent rose to $1,965 in June, up 2.2% annually, according to the Zillow Observed Rent Index.
- 39.7% of rentals on Zillow offered a concession in June, up from 35.2% a year ago.
- Sun Belt renters have more options and more deals than the rest of the country, the direct result of a years-long building boom.
SEATTLE, July 23, 2026 /PRNewswire/ — Fewer apartments are sitting empty, rents are climbing, and yet the deals keep coming. According to the Zillow® June Rental Report, the typical U.S. asking rent rose to $1,965, up 2.2% compared to a year ago, and nearly 2 in 5 rental listings came with a concession attached. For property managers, that means pricing power isn’t back yet.
A concession is a move-in discount, commonly a free month’s rent, waived fees or free parking. For renters who land a freebie, the real cost of renting can be softer than the asking price suggests. The 2.2% annual rent growth in June is a slight acceleration from the previous month. Yet the increase in concessions — 39.7% of rental listings on Zillow offered one in June, up from 35.2% a year ago — softens the blow for renters.
The backdrop is a rental market that has added significant new inventory over the past few years, giving renters more choices. Meanwhile, the cost of buying a home remains high, keeping many in the rental market longer. That combination is driving both trends: enough demand to keep absorption elevated and sufficient supply to keep the rental vacancy rate elevated.
“The payoff from the construction boom is showing up clearly for renters right now,” said Orphe Divounguy, senior economist at Zillow. “Supply is the most direct lever to keep rents in check over the long term. Markets that invested in new housing are rewarding renters with more choices, more concessions and more competitive pricing. Renters in areas that did not are feeling it, as rents continue to increase fast and affordability is slow to improve.”
The rental market is expected to tighten
Rent growth has been consistent this spring: April, May and June all posted stronger month-over-month gains than the same months in 2025.
The rapid climb in the number of available rental units is slowing, in large part because the apartment construction wave that flooded the market is finally receding: building completions fell further in the second quarter, while net absorption continued to increase.
With demand holding steady and the flow of new apartments slowing, conditions are expected to tighten gradually across the country. That means the elevated concession rates renters are seeing today reflect a market still working through its inventory. As that process plays out, deals are expected to become less common even as rent growth stays measured.
Where deals are most common
The markets with the highest concession rates are where the most new apartments were built and where renters have the most options today. Charlotte (67.1%), Denver (65.9%) and Dallas (64.6%) top the list. Rents have declined in San Antonio (-1.8% to $1,416), Austin (-1.7% to $1,653) and Denver (-1.3% to $1,930) over the past year. In these markets, renters are seeing the direct benefit of the new supply that has come online.
Where the market is tightest, rents are rising fastest. San Francisco leads the nation in rent growth, up 8.2% annually to $3,301, with just 24.9% of listings offering a concession. San Jose rents rose 6.2% to $3,729, while Chicago rents climbed 5.2% to $2,275. For renters in these markets, the window to negotiate is considerably narrower.
Single-family rents increase twice as much as apartment rents
Single-family rents rose 3% year over year to $2,320, roughly double the 1.5% gain for multifamily units, now at $1,789. A disproportionately larger increase in the number of apartment units gave renters in that segment more options to choose from, also pulling down rent growth when compared to single-family rentals.
Looking ahead, rent growth is expected to remain moderate. Zillow forecasts single-family rents to rise 3.1%, and multifamily rents to increase 2% for 2026, roughly in line with 2025. For renters, that means the deals available today are unlikely to disappear overnight, but as new supply is absorbed, conditions could begin to gradually tighten.
|
Metro |
Concession |
Concession |
Typical Rent, |
Rent YoY |
Income |
|
United States |
39.7 % |
4.5 % |
$1,965 |
2.2 % |
$78,600 |
|
New York, NY |
17.2 % |
1.3 % |
$3,573 |
4.5 % |
$142,933 |
|
Los Angeles, CA |
32.5 % |
2.9 % |
$2,927 |
1.5 % |
$117,090 |
|
Chicago, IL |
23.3 % |
2.6 % |
$2,275 |
5.2 % |
$91,014 |
|
Dallas, TX |
64.6 % |
9.2 % |
$1,673 |
0 % |
$66,938 |
|
Houston, TX |
54.0 % |
7.2 % |
$1,648 |
-0.1 % |
$65,918 |
|
Washington, DC |
54.8 % |
4.2 % |
$2,448 |
0.1 % |
$97,916 |
|
Philadelphia, PA |
31.8 % |
3.0 % |
$1,928 |
3.6 % |
$77,128 |
|
Miami, FL |
27.8 % |
2.7 % |
$2,695 |
1.2 % |
$107,784 |
|
Atlanta, GA |
58.2 % |
5.3 % |
$1,854 |
1.9 % |
$74,159 |
|
Boston, MA |
29.5 % |
4.8 % |
$3,210 |
2.6 % |
$128,416 |
|
Phoenix, AZ |
61.0 % |
6.0 % |
$1,733 |
0 % |
$69,339 |
|
San Francisco, CA |
24.9 % |
8.9 % |
$3,301 |
8.2 % |
$132,059 |
|
Riverside, CA |
29.9 % |
3.1 % |
$2,539 |
2.3 % |
$101,570 |
|
Detroit, MI |
25.3 % |
2.8 % |
$1,518 |
3.2 % |
$60,713 |
|
Seattle, WA |
52.4 % |
6.7 % |
$2,269 |
1.4 % |
$90,763 |
|
Minneapolis, MN |
40.0 % |
0.4 % |
$1,727 |
3.4 % |
$69,061 |
|
San Diego, CA |
37.4 % |
4.1 % |
$2,991 |
1.7 % |
$119,620 |
|
Tampa, FL |
52.5 % |
11.3 % |
$2,020 |
-0.7 % |
$80,812 |
|
Denver, CO |
65.9 % |
4.4 % |
$1,930 |
-1.3 % |
$77,188 |
|
Baltimore, MD |
37.7 % |
1.0 % |
$1,936 |
2.2 % |
$77,433 |
|
St. Louis, MO |
28.9 % |
6.5 % |
$1,459 |
4.0 % |
$58,369 |
|
Orlando, FL |
55.2 % |
5.7 % |
$1,972 |
0.7 % |
$78,874 |
|
Charlotte, NC |
67.1 % |
6.0 % |
$1,750 |
0.5 % |
$69,989 |
|
San Antonio, TX |
56.9 % |
6.1 % |
$1,416 |
-1.8 % |
$56,633 |
|
Portland, OR |
48.0 % |
6.2 % |
$1,805 |
0.4 % |
$72,214 |
|
Sacramento, CA |
31.8 % |
2.8 % |
$2,308 |
2.0 % |
$92,327 |
|
Pittsburgh, PA |
25.8 % |
5.1 % |
$1,523 |
3.6 % |
$60,921 |
|
Cincinnati, OH |
32.6 % |
12.6 % |
$1,583 |
2.8 % |
$63,306 |
|
Austin, TX |
64.3 % |
3.6 % |
$1,653 |
-1.7 % |
$66,132 |
|
Las Vegas, NV |
57.1 % |
15.5 % |
$1,748 |
0.3 % |
$69,910 |
|
Kansas City, MO |
34.8 % |
7.7 % |
$1,545 |
3.4 % |
$61,803 |
|
Columbus, OH |
48.8 % |
11.0 % |
$1,528 |
1.5 % |
$61,100 |
|
Indianapolis, IN |
46.9 % |
9.0 % |
$1,558 |
2.5 % |
$62,327 |
|
Cleveland, OH |
24.7 % |
2.0 % |
$1,474 |
4.0 % |
$58,967 |
|
San Jose, CA |
23.7 % |
-13.2 % |
$3,729 |
6.2 % |
$149,179 |
|
Nashville, TN |
64.0 % |
6.4 % |
$1,810 |
0.4 % |
$72,418 |
|
Virginia Beach, VA |
21.8 % |
-4.9 % |
$1,878 |
5.5 % |
$75,104 |
|
Providence, RI |
11.4 % |
-0.1 % |
$2,172 |
3.5 % |
$86,872 |
|
Jacksonville, FL |
50.2 % |
3.1 % |
$1,708 |
1.2 % |
$68,316 |
|
Milwaukee, WI |
18.3 % |
-4.5 % |
$1,552 |
4.2 % |
$62,085 |
|
Oklahoma City, OK |
29.7 % |
3.3 % |
$1,393 |
2.8 % |
$55,708 |
|
Raleigh, NC |
64.1 % |
4.6 % |
$1,689 |
0.3 % |
$67,559 |
|
Memphis, TN |
43.3 % |
8.4 % |
$1,435 |
0.7 % |
$57,386 |
|
Richmond, VA |
47.4 % |
7.7 % |
$1,772 |
3.3 % |
$70,863 |
|
Louisville, KY |
44.5 % |
11.1 % |
$1,385 |
2.3 % |
$55,404 |
|
New Orleans, LA |
19.3 % |
7.2 % |
$1,617 |
0.8 % |
$64,679 |
|
Salt Lake City, UT |
64.2 % |
8.2 % |
$1,638 |
0.6 % |
$65,513 |
|
Hartford, CT |
20.7 % |
0.6 % |
$2,013 |
3.1 % |
$80,518 |
|
Buffalo, NY |
10.1 % |
2.9 % |
$1,461 |
3.1 % |
$58,435 |
|
Birmingham, AL |
39.2 % |
14.8 % |
$1,462 |
1.2 % |
$58,497 |
|
*Table ordered by market size |
About Zillow Group
Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people.
As the most visited real estate app and website in the United States, Zillow connects hundreds of millions of consumers with innovative technology, trusted agents and loan officers, and seamless digital solutions. With industry-leading tools and resources, Zillow supercharges real estate professionals so they can grow their businesses and deliver exceptional client experiences. For renters and housing providers, Zillow offers not only a robust marketplace but a set of end-to-end products and services to streamline applications, leases, payments and more.
Zillow’s ecosystem spans the entire home journey — from dreaming and shopping to renting, buying, selling and financing.
Zillow Group’s affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans®, Zillow Rentals®, Zillow® New Construction, Trulia®, StreetEasy®, Out East®, HotPads®, Follow Up Boss®, ShowingTime®, dotloop® and Zillow® Closing.
All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2026 MFTB Holdco, Inc., a Zillow affiliate.
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