Rent payments have climbed as the national average rent paid in 2024 was $1,302, marking a 31% increase over the past five years, according to a report from Rentec Direct.
Using aggregated actual rent payments from more than 374,000 lease agreements, this report sheds light on affordability challenges and regional fluctuations shaping the housing market in 2025.
Unlike reports that rely on advertised rents, this analysis is based on actual rent paid, offering a more accurate reflection of affordability across markets—especially in rent-controlled areas, the company says in its The State of Rent: Housing Affordability Trends Across the U.S., offering a timely and data-driven look at rent trends from 2019 to 2024.
Key insights from Rentec Direct’s State of Rent Report:
- Nationwide rent surge: Average monthly rent reached $1,302 in 2024—up 31% over five years despite a slowing year-over-year growth rate. The steepest spike came between 2021 and 2022 as pandemic-era rent breaks ended.
- Affordability gaps: Pacific states (Hawaii, California, Washington) top the charts as the most expensive rental markets, while Southern and Midwestern states (West Virginia, Louisiana, Minnesota) offer the most affordable options.
- Regional extremes: Arizona, Tennessee and New Mexico saw rent hikes exceeding 65%. Minnesota stands out as the only state to see a significant rent decline—a 34% drop, likely tied to land use reform.
- Supply and demand: States with rapid population growth, limited housing supply and no rent control laws are seeing the largest rent increases.
- 2025 outlook: The report includes a 2025 market forecast with exclusive intel for renters, landlords and housing advocates navigating shifting trends.
Rent payments climbed
“A 31 percent national rent increase over just five years is a clear indicator that housing affordability remains a pressing concern for millions of renters,” Nathan Miller, President of Rentec Direct, said in a release.
“As we look ahead to the second half of 2025, landlords should focus on long-term strategies for retention and stability. Renters may benefit from exploring more affordable suburban or rural markets or by proactively negotiating lease terms. We encourage our legislators to prioritize smart housing policies that balance supply and demand for both landlords and tenants. Our goal with this report is to give the rental industry the insights it needs to make more informed decisions in an increasingly complex market.”
The report analyzed real rent payment data from Rentec’s network of landlords and property managers from over 300,000 rental properties and over 350,000 tenants in all 50 states to show how rent payments climbed.
To access the State of Rent Report, visit: https://www.rentecdirect.com/learn/research/rent-report-2025.
