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Renters are facing higher costs as lease prices hit record highs in August. The national average asking rent climbed 11% year-over-year, although some areas saw growth of more than double.

For example, rent demand in Cincinnati, Ohio, grew 26% year-over-year in August, according to data from real estate brokerage Redfin. This is the largest jump among the most populous US metropolitan areas tracked by Redfin.

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All the top ten markets with the fastest growing rents year-on-year saw growth of at least 17%. However, according to Redfin, rents in Pittsburgh, Indianapolis and Nashville rose more than 20% last month.

August marked the smallest annual increase in the national median for rent seeking. Last month, asking rent was also the slowest month-on-month growth since December 2021.

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These housing markets are most vulnerable to recession

Redfin Deputy Chief Economist Taylor Marr forecast that rent growth is likely to slow further as the Federal Reserve continues to raise interest rates, thereby “constraining spending power in the economy as a whole, including the tenants’ budget.” is arising.”

There are also about a million rental units under construction, which are projected to hit the market in the coming months and years, which will boost supply and further slow rent growth, according to Mara.

How housing is fueling red-hot inflation

Four of the top 50 most populous metro areas also saw a year-on-year decline in fares in August, up from three in July.

Nevertheless, many renters across the country are facing significant growth.

Top 10 metro areas with fastest growing fares in last one year:

  1. Cincinnati, Ohio: 26%
  2. Pittsburgh, Pennsylvania: 22%
  3. Indianapolis, Indiana: 21%
  4. Nashville, Tennessee: 20%
  5. Portland, Oregon: 19%
  6. New York, New York: 18%
  7. Newark, New Jersey: 18%
  8. Nassau County, New York: 18%
  9. New Brunswick, New Jersey: 18%
  10. San Antonio, Texas: 17%

Top four metros that saw a drop in rents in August from a year ago:

  1. Milwaukee, Wisconsin: 15%
  2. Minneapolis, Minnesota: 7%
  3. Jacksonville, Florida: 2%
  4. Baltimore, Maryland: 1%