Apartment Metros See Shift Toward Renters

Only six of the top 50 apartment metros remain landlord-friendly as vacancies rise and rents fall, shifting leverage to renters nationwide.

February 18, 2026

Valerija I.

Only six of the 50 largest apartment metros remain landlord-friendly based on vacancy rates.
The national median asking rent fell 1.5% year-over-year to $1,672 in January, marking 29 months of annual declines.
44 major apartment metros are now classified as renter-friendly or balanced, with tenant leverage rising notably in Sun Belt and Midwest cities.
Supply surges and shifting demand are driving adjustments in cap rates, rents, and concession strategies for investors.

Key Takeaways

Market Turns to Renters

A new Realtor.com analysis reveals a significant power shift in the US rental sector, with only six major apartment metros still favoring landlords. Rising vacancy rates and persistent declines in asking rents have reset market dynamics, pushing most cities into balanced or renter-friendly territory, per Globe St.

As median asking rents fell 1.5% year-over-year and average vacancy reached 7.6% across the top 50 apartment metros, tenants gained more options and leverage than seen in recent years.

Vacancy and Rent Shifts Across Metros

Twenty-two apartment metros now report renter-friendly conditions with vacancy rates over 7%, while another 22 are balanced between 5% and 7%. Only six metros—including Boston, New York, San Jose, Providence, and Riverside—retain landlord-friendly status, marked by sub-5% vacancy.

Sun Belt and Midwest markets that previously attracted investor capital, such as Milwaukee, Dallas–Fort Worth, Houston, and Austin, now post double-digit vacancy rates and year-over-year rent declines, indicating a swing toward tenant negotiation power. This cooling dynamic contrasts with recent migration trends that showed affluent renters concentrating in large coastal and gateway cities, reinforcing how supply-heavy metros are now feeling more pronounced pricing pressure.

Unit Size and Regional Divergence

The adjustment varies by apartment unit size. Studios and one-bedrooms report 29 and 32 months of consecutive rent declines, respectively. Two-bedroom units exhibit the sharpest pullback, falling 1.7% year-over-year. Some metros, like Kansas City and Virginia Beach, experience rent growth despite high vacancy, highlighting local demand factors.

Landlord-Friendly Holdouts and Investor Implications

Boston, New York, and San Jose remain resilient, with low vacancy and, in some cases, slowly rising rents despite the national trend. Los Angeles and Riverside also stay landlord-leaning, but rent declines there indicate sensitivity to new supply.

Methodological updates in the January report mean investors should calibrate recent data against internal benchmarks. The new apartment metros landscape suggests tenant leverage will remain strong, especially in supply-heavy regions.