Houston's rental market experienced a spike in demand in May as uncertainties surrounding interest rates and inflation prompt more homebuyers to opt for renting, according to the Houston Association of Realtors.
According to a June 21 news release from HAR, there was a notable increase in demand for single-family rental homes, townhomes and condominiums in May. Single-family home rentals saw a year-over-year growth of 17.4%, with 3,987 leases signed compared to 3,395 in May 2022, according to HAR data. The average rent remained relatively stable at $2,255.
Additionally, new listings for single-family rentals rose by 14.8%, but the days homes were on the market increased from 24 to 34 days, according to the release.
"Houston's rental market continues to be hot, which means some would-be homebuyers are still wary of the sales market,” HAR Chair Cathy Treviño said in the news release. “As inflation cools and housing prices continue to moderate, I believe we will see more renters shifting their focus towards homeownership.”
