Denver rent down 2% year over year, rent growth slowing nationally

The downtown Denver, Colorado skyline with office buildings, hotels, and apartments rises behind the columns and steps in Civic Center Park. A Denver landmark, …

The downtown Denver, Colorado skyline with office buildings, hotels, and apartments rises behind the columns and steps in Civic Center Park. A Denver landmark, original construction of Civic Center Park was 1912 – 1920 and since, has been placed on the National Register of Historic Places.

by: DJ Summers

Posted: May 18, 2023 / 11:27 AM MDT

Updated: May 18, 2023 / 11:27 AM MDT

DENVER (KDVR) — Rent growth is slowing around the country, and around the Denver area it’s even reversing.

Realtor.com released its monthly rental report Thursday, which examines rental prices, growth and vacancy among the nation’s 50 largest metro areas. The April report says the worst of the early 2020s inflation has passed for now regarding housing costs. The nation’s rent growth has slowed for the 15th month in a row. In April, the national median rent rose by 0.3% annually, which is the lowest since the COVID pandemic began.

The areas that exploded in population growth and housing costs in 2021 and 2022 are now cooling off, including Denver. Western and Sunbelt metros each saw rents go down year over year while they rose in the Midwest, where people have been seeking lower costs of living.

The median rent for Denver area studio, 1-bedroom and 2-bedroom apartments fell 2% since last April.

About half of the nation’s median rents have fallen in the last year, including a 15% drop in New Orleans. Denver’s 2% drop is about the same as in the Los Angeles and Nashville areas.

Still, Denver’s rent continues to be among the highest in the nation, with a median rental price of $1,957. Despite a large number of apartments coming online this year, the Denver area’s apartments are packed, with one of the nation’s lowest vacancy rates at 4.1%.