New research has revealed the US cities seeing the biggest rent increases, with Butte, Montana, coming out on top.
The study by home warranty company Cinch Home Services analyzed data from Zillow’s Observed Rent Index for 500 US metro areas across the past year to see which areas had seen the biggest increases in rent costs on average.
It found that the city of Butte, Montana, has seen the biggest rent increases. On average, rent in the state in October 2023 was $1,126.82, which increased to $1,346.24 in October 2024. This is an increase of $219.42, or 19.47%, the highest of any area.
The city of Oxford, Mississippi, comes in second. In October 2023, the average rent was $1,962.02, which increased to $2,331.59 in October 2024. This is an increase of $369.57, or 18.84%.
Third on the list is Mount Pleasant, Michigan. Average rent costs in October 2023 were $799.91, and in October 2024, they have increased to $945. This is an increase of 18.14%, or $145.09.
Dickinson, North Dakota, takes fourth place on the list. Average rent has increased by $173.70, or 17.84% over the past year. In October 2023, it sat at $973.82, which has gone up to $1,147.53 in October 2024.
Rounding out the top five is Marquette, Michigan. In October 2023, the average rent was $1,017.81, which increased to $1,194.64 in October 2024. This is an increase of $176.83, or 17.37%.
Commenting on the findings, a spokesperson for Cinch Home Services said, “With past volatility of the housing market, it’s no surprise that certain areas have seen bigger hikes in rent than others.
“However, ranking areas based on a percentage increase highlights where this could have a greater impact on residents, as those with a higher spending power may not feel the effects of spiraling rent costs as greatly. It’ll be interesting to see whether these patterns in these areas continue and how this will affect the demographics of these areas as well.”
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