^{August 9, 2024 | 5 Minute Read}

What are the top markets for renters in 2024? Realtor.com says we’re now in the second half of the peak rental season, so with that in mind, they produced a new report with top rental markets with cities offering a great combination of affordable rental options and job opportunities. Top get their list, they analyzed 325 cities & towns with a population of 75k+ and located within the 50 largest metro areas. Next, they ranked them by such factors as rental affordability (rent-to-income ratios), unit availability, job opportunities and commute times. Perhaps not surprising, all top 10 rental markets are in the South and Midwest, with none from the Northeast or West.

“Living in markets with a high share of renters indicates excellent access to urban amenities, including public transportation, entertainment, dining options, and cultural attractions, which are highly appealing to renters,” explains Jiayi Xu, the Realtor.com economist who wrote this report.

Spoiler alert: All top 10 rental markets are located in the South and Midwest, with none from the Northeast or West.

So which other cities did make the cut? The top 10 rental markets in the United States are as follows, according to the Realtor.com report:

Austin, TX

• Metro area: Austin–Round Rock, TX

• Rent-to-income ratio: 19.7%

• Average commute: 26 minutes

• Austin is one of the fastest-growing U.S. cities. With major tech companies like Google, Apple, and Oracle expanding into the area, it’s become a bustling technology hub with loads of job opportunities and a low unemployment rate (3.3%).

• The Texas state capital also features culturally diverse neighborhoods and a vibrant music scene.

Realtor.com recently named Austin the top rental market for 2024 college graduates.

Oklahoma City, OK

• Rent-to-income ratio: 17.7%

• Average commute: 24 minutes

• Oklahoma City is the most affordable rental market in the top 10, with a rent-to-income ratio of 17.7%.

A lower rent-to-income ratio is desirable, as it means a smaller portion of monthly income goes toward rent, leaving more budget available for other expenses.

Birmingham, AL

• Metro area: Birmingham–Hoover, AL

• Rent-to-income ratio: 22.9%

• Average commute: 24 minutes

• This scenic city has great breweries, top-tier health care, and plenty of incredible places to hike, bike, and fish.

• It also has the highest number of vacant rentals (12.3%) among the top 10.

San Antonio, TX

• Metro area: San Antonio–New Braunfels, TX

• Rent-to-income ratio: 21.3%

• Average commute: 26 minutes

• San Antonio, with its foodie culture and excellent music venues, is often compared to Austin.

• San Antonio has a large military presence, which offers strong community support, quality services, cultural diversity, and enhanced security, making it an even more attractive place to live.

Minneapolis, MN

• Metro area: Minneapolis–St. Paul–Bloomington, MN-WI

• Rent-to-income ratio: 19.3%

• Average commute: 24 minutes

• The Midwest city is economical as well: Minneapolis is the second most affordable rental market within the top 10. The Minneapolis metro area also ties with the Nashville metro for the lowest forecasted 2024 unemployment rate (2.9%) among the top 50 rental markets.

Sandy Springs, GA

• Metro area: Atlanta–Sandy Springs–Alpharetta, GA

• Rent-to-income ratio: 23.4%

• Average commute: 27 minutes

• Sandy Springs is just 14 miles from Atlanta, so it offers a nice mix of urban and suburban living.

• More than half of residents rent in Sandy Springs. It has the third-highest share of renters (54.6%) among the top 10 cities.

Nashville, TN

• Metro area: Nashville–Davidson–Murfreesboro–Franklin, TN

• Rent-to-income ratio: 23.8%

• Average commute: 26 minutes

• The Nashville metro has the lowest forecasted unemployment rate (2.9%) among the top 50, tying with Minneapolis for the No. 1 spot.

• Nashville has a 9.2% rental vacancy rate.

According to Xu, one reason for the higher vacancy rates in top markets like Nashville could be the surge in new multifamily construction and completion in the South and the Midwest, which expands the overall rental inventory.

Kansas City, MO

• Metro area: Kansas City, MO–Kansas City, KS

• Rent-to-income ratio: 19.7%

• Average commute: 24 minutes

• Kansas City made the top 10 due to its ample job opportunities and affordability—two traits that also attract real estate investors.

Raleigh, NC

• Rent-to-income ratio: 20%

• Average commute: 25 minutes

• Raleigh is a buzzing tech hub that ranks high on our list for affordability.

• The average commute in Raleigh is 25 minutes, which is shorter than the city/town average of 30 minutes.

Norfolk, VA

• Metro area: Virginia Beach–Norfolk–Newport News, VA-NC

• Rent-to-income ratio: 22.8%

• Average commute: 25 minutes

• Norfolk is a beautiful community with miles of spectacular beaches with plenty of boating.

• When it comes to being a top rental market, this military city ranks high for its stable job market and large number of rentals.