Waller, Weeks and Johnson Rental Index

In the wake of the Covid-19 pandemic, rental rates across the United States have soared to record highs.

To help demonstrate the rise in rents, the exhibit on this page ranks the 25 most overvalued rental markets from among the nation’s largest metropolitan areas. Past leasing data from Zillow's Observed Rent Index (ZORI) is used to model the rental trends, and the data shows where rents should be (based on a history of rents) compared with actual, current rents. The premium or discount is defined as the percentage difference between statistically modeled prices and actual rental prices.

This project is co-produced by the Florida Atlantic University Real Estate Initiative and Florida Gulf Coast University's Lucas Institute for Real Estate Development & Finance.

 

No. City Average Rental Price What It Should Be Premium
1 Miami-Fort Lauderdale, FL $ 2,832.00 $ 2,325.99 21.75%
2 Fort Myers, FL $ 2,052.00 $ 1,736.68 18.16%
3 Tampa, FL $ 2,029.00 $ 1,732.99 17.08%
4 North Port-Sarasota-Bradenton, FL $ 2,402.00 $ 2,053.40 16.98%
5 Port St. Lucie, FL $ 2,201.00 $ 1,903.88 15.61%
6 Killeen, TX $ 1,322.00 $ 1,145.00 15.46%
7 Bakersfield, CA $ 1,688.00 $ 1,473.93 14.52%
8 Lakeland, FL $ 1,808.00 $ 1,579.56 14.46%
9 Phoenix, AZ $ 1,921.00 $ 1,678.87 14.42%
10 Knoxville, TN $ 1,526.00 $ 1,334.69 14.33%
11 Tucson, AZ $ 1,585.00 $ 1,389.47 14.07%
12 Daytona Beach, FL $ 1,766.00 $ 1,554.87 13.58%
13 Jacksonville, FL $ 1,724.00 $ 1,520.82 13.36%
14 Albuquerque, NM $ 1,435.00 $ 1,267.77 13.19%
15 New Orleans, LA $ 1,517.00 $ 1,340.69 13.15%
16 Orlando, FL $ 1,951.00 $ 1,725.56 13.06%
17 Las Vegas, NV $ 1,828.00 $ 1,617.45 13.02%
18 Riverside, CA $ 2,561.00 $ 2,273.94 12.62%
19 Melbourne, FL $ 1,850.00 $ 1,645.21 12.45%
20 Allentown, PA $ 1,770.00 $ 1,578.25 12.15%
21 Greensboro, NC $ 1,424.00 $ 1,270.55 12.08%
22 Austin, TX $ 1,808.00 $ 1,621.03 11.53%
23 Memphis, TN $ 1,496.00 $ 1,344.14 11.30%
24 Augusta, GA $ 1,326.00 $ 1,193.72 11.08%
25 Boise City, ID $ 1,777.00 $ 1,600.62 11.02%

 


See the Top 100 U.S. Housing Markets for Over and Underpricing.

 

 

 

 

 

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