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Realtor.com® December Rent Report: Low-Cost Renters Face Ongoing Challenges Amid Decreasing Asking Rents

In December, the rental market saw asking rents decline for the 29th month in a row compared to the previous year. Yet, a recent report from Realtor.com® reveals that this decrease is not uniformly distributed across the market. Higher-priced rentals have experienced more significant relief, leaving lower-cost renters still grappling with escalating prices. The median asking rent in the 50 largest U.S. metropolitan areas has dipped to $1,689, representing a 0.7% decrease from December 2024.

Interestingly, while there's been a national softening in rent, those looking for lower-priced rental options are not experiencing the same level of relief. Between December 2019 and December 2025, the median asking rent saw an overall increase of 16.9%. However, the 25th percentile of lower-priced rentals escalated by 19.9%, compared to a 12.5% rise in the 75th percentile of higher-priced rentals. This disparity indicates that tenants seeking affordable options are feeling the strain of higher prices as rent reductions have predominantly manifested at the high end of the spectrum.

Danielle Hale, chief economist at Realtor.com®, explains, "The national reduction in rents has been striking; however, how that relief is distributed is crucial. Renters in pursuit of economical homes are likely not witnessing much easing, as the rents they can afford have seen higher increases since 2019."

Rent Declines Flattening

As we close out 2025, the 0.7% decline year-over-year in December marks the most modest drop since March and illustrates a trend where rent declines are stabilizing. This month's figure is also the lowest recorded since 2021, standing out amidst a backdrop of rapid rent growth that the market is slowly resolving. Across all unit sizes, including studios, one-bedrooms, and two-bedrooms, asking rents have continued to fall year-over-year; however, studios are seeing less pronounced reductions compared to the other categories.

Relief Concentrated in Higher-End Rentals

To gain deeper insights into the rental landscape, Realtor.com® examined the 25th and 75th percentiles of asking rent since 2019, revealing a stark division in experiences among renters. The data indicated higher price growth for lower-cost rentals, alongside lower recent relief rates for this group. The contrasts observed within rent increases over time accentuate the need to understand how renters interact with these market dynamics:

• - From December 2019 to December 2022: Median asking rents rose by 19.6%, and lower-priced rentals increased by 21.0%.
• - From December 2022 to December 2025: There was a median rent drop of 2.3%, while the 25th percentile saw only a slight decline of 0.8%.

Joel Berner, a senior economist at Realtor.com®, added, "This trend points to the growing retention of higher-income renters, as concessions and slower price growth at the top end lessen the rush to purchase and stabilize housing costs while competition for budget-friendly rentals remains tense."

Metro Areas: Divergence in Rent Trends

Geographically, the change in the share of rental prices escalated differently across city landscapes. Some metropolitan areas have reported significant increases in the 25th percentile asking rent as a percentage of the median since 2019, marking them as particularly challenging for low-income renters. For instance:

• - Boston-Cambridge-Newton, Mass.-N.H.: 79.2% to 86.1%
• - Nashville-Davidson-Murfreesboro-Franklin, Tenn.: 79.3% to 86.1%

Conversely, regions like Cleveland, Ohio and New York-Newark-Jersey City have seen slight decreases in lower-cost rents relative to the median—a signal of a somewhat easier environment for finding affordable rentals compared to prior years.

Conclusion

The December Rent Report from Realtor.com® showcases a multifaceted landscape in the rental markets, particularly highlighting the plight of lower-cost renters even as overall rent levels decline. This ongoing affordability challenge continues to echo through vulnerable populations seeking housing stability during a time of fluctuating economic conditions. Addressing these disparities will require targeted actions and policies to ensure equitable access to housing resources moving forward.