United States Rental Rate for Residential Real Estate Market Size, Share and Growth Analysis Report: Forecast Trends and Outlook 2025-2034

The United States rental rate for residential real estate market value reached approximately USD 1.32 per unit per month in 2024. The market is projected to grow at a CAGR of 5.00% between 2025 and 2034, reaching a value of around USD 2.15 per unit per month by 2034.

United States Rental Rate for Residential Real Estate Market Outlook

One major factor driving United States rental rate for residential real estate market revenue is inflation and economic conditions. As of May 2024, rental price trend has slowed as average rent reached USD 2,036, showcasing a 3.4% increase from 2023. This is below pre-pandemic growth rates of 4%. In addition, rising vacancy rates, which is currently valued at 6.6% can further stabilise rental prices and lead to higher demand for residential real estate.

Demographic shifts in USA, such as increasing number of single-person households, also play an important role in driving growth of the United States rental rate for residential real estate market. This is because an individual looking for a resident prefers to rent a home rather than buying. Furthermore, there is a growing consumer demand for modern, flexible living spaces. Due to this, renters are willing to pay more as rent for properties that feature energy-efficient facilities and can provide a suitable environment for remote work.

Rising Demand for Rental Homes in Urban Areas is Leading to United States Rental Rate for Residential Real Estate Market Growth

• Across different regions, the Far West region is expected to lead with a CAGR of 5.8%, driven by strong demand for rental properties in urban areas and high migration rates.
• The Rocky Mountain region follows with a CAGR of 5.4%, supported by increasing population growth and limited housing supply.
• The Southwest and Southeast regions, with CAGRs of 5.2% and 5.0% respectively, benefit United States rental rate for residential real estate market from rapid urbanization and economic development.
• New England and the Mideast exhibit moderate growth with CAGRs of 4.7% and 4.3%, reflecting stable demand but slower market expansion.
• The Plains and Great Lakes regions experience the slowest growth, with CAGRs of 4.0% and 3.8% respectively, due to a combination of lower demand and more stable housing markets.

Apartments and Single-Family Homes are Occupying Majority of the United States Rental Rate for Residential Real Estate Market Share, Followed by Condominiums

• Across different types of residential properties, apartments are leading the growth at a CAGR of 5.7% due to the rising demand for urban living and the increasing preference for renting over buying.
• Single-family homes follow closely with a CAGR of 5.4%, driven by growing rental demand in suburban areas, leading to various United States rental rate for residential real estate market opportunities.
• Condominiums also exhibit significant growth at 5.1%, supported by the popularity of shared amenities and community living.
• Townhouses and multi-family units, with CAGRs of 4.8% and 4.5% respectively, are expected to see more moderate growth, reflecting a steady but less aggressive market expansion in these segments.

Growing Demand for Temporary Housing by Students Enrolled in Universities is a Significant United States Rental Rate for Residential Real Estate Market Trend

• Among end use segment, students are leading with a projected CAGR of 5.5% from 2025 to 2034. This growth is driven by increasing enrollment in higher education institutions and the demand for student housing near campuses.
• Working professionals follow closely with a 5.3% CAGR, reflecting the growing trend of renting among young professionals in urban areas.
• According to United States rental rate for residential real estate industry analysis, families, with a CAGR of 4.8%, indicate a steady preference for renting, particularly in suburban areas.
• Retirees show a moderate growth rate of 4.5%, likely due to the increasing popularity of downsizing and renting in retirement communities.

Key Questions Answered in the Report:

• How has the United States rental rate for residential real estate market performed historically, and what are the growth expectations for the future?
• What are the primary factors influencing demand and growth in the United States rental rate for residential real estate market?
• What are the key segments within the United States rental rate for residential real estate market, and how are they expected to evolve over the forecast period?
• What are the major challenges and opportunities facing stakeholders in the United States rental rate for residential real estate market?
• Who are the key players in the United States rental rate for residential real estate market, and what strategies are they employing to maintain a competitive edge?
• What are the regulatory and policy factors influencing the United States rental rate for residential real estate market globally or regionally?
• How competitive is the United States rental rate for residential real estate market according to Porter's five forces analysis, including factors like bargaining power of buyers and suppliers?
• What are the current trends shaping the United States rental rate for residential real estate market landscape, and how are they expected to evolve in the future?
• How are technological advancements impacting the United States rental rate for residential real estate market, and what role do innovation and R&D play in driving growth?
• What are the consumer preferences and buying behavior trends influencing the United States rental rate for residential real estate market?
• How sustainable are current growth rates in the United States rental rate for residential real estate market, and what factors could potentially disrupt these trends?
• What are the regional dynamics within the United States rental rate for residential real estate market, and how do they contribute to overall market growth?
• What are the economic factors influencing the United States rental rate for residential real estate market, such as GDP growth, inflation rates, and currency fluctuations?
• How are demographic shifts, such as aging populations or urbanization trends, affecting demand in the United States rental rate for residential real estate market?
• What are the key strategic partnerships, mergers, and acquisitions shaping the competitive landscape of the United States rental rate for residential real estate market?
• What are the regulatory and legal frameworks impacting the United States rental rate for residential real estate market globally or in key regions?
• How are changing consumer lifestyles and preferences influencing product or service demand within the United States rental rate for residential real estate market?
• What are the emerging market trends and niche opportunities within the United States rental rate for residential real estate market that stakeholders should be aware of?
• How resilient is the United States rental rate for residential real estate market to external shocks or disruptions, such as geopolitical tensions or natural disasters?
• What are the potential barriers to market entry and growth for new players in the United States rental rate for residential real estate market?

Key Benefits for Stakeholders:

Expert Market Research's industry report provides a comprehensive quantitative analysis of various market segments, historical and current market trends, and forecasts the dynamics of the United States rental rate for residential real estate market spanning from 2018 to 2034.

The research report delivers up-to-date insights into the market drivers, challenges, and opportunities shaping the United States rental rate for residential real estate market.

Stakeholders can leverage Porter's five forces analysis to assess the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. This analysis aids in evaluating the competitiveness and attractiveness of the United States rental rate for residential real estate market.

The competitive landscape section enables stakeholders to gain a deep understanding of their competitive environment. It offers insights into the current market positions of key players, their strategies, and their market shares.

Additionally, the report highlights emerging trends, regulatory influences, and technological advancements that are pivotal for stakeholders navigating the United States rental rate for residential real estate market landscape.