Rent prices across the U.S. have started to cool, but the benefits are not being shared equally. New data shows that higher-income renters are seeing the biggest relief, while lower-income households continue to feel squeezed by rising costs.
According to the December 2025 rental report from Realtor.com, renters at the lower end of the income scale have faced the steepest rent increases since 2019. Meanwhile, renters in higher-priced units have seen slower growth — and in many cases, actual declines.
Lower-Income Renters Saw the Sharpest Increases
Since late 2019, asking rents for lower-priced homes measured at the 25th percentile — have jumped by about 20%. By comparison, the national median rent rose just under 17% during the same period.
At the top of the market, rents have increased far less. Asking rents at the 75th percentile rose only 12.5%, giving higher earners more breathing room. Some renters in this group have even chosen to delay buying a home, staying in rentals longer as prices ease.
“This puts disproportionate pressure on the lowest earners to afford their rent while higher-end renters are enjoying the majority of recent rent declines,” said Joel Berner, senior economist at Realtor.com.
Why Rent Declines Aren’t Helping Everyone
Realtor.com analyzed asking rents for studio, one-bedroom, and two-bedroom units listed across the 50 largest U.S. metro areas. The findings show that most rent relief since 2023 has been concentrated in higher-priced apartments.
Since December 2022:
- High-end rents have fallen about 3.5%
- Median rents declined roughly 2.3%
- Lower-priced rents dropped just 0.8%
This uneven shift explains why many renters still feel strained, even as headlines point to falling rent prices.
A Narrowing Gap With a Bigger Burden
Economists describe this trend as a “compression” of asking rents — meaning the gap between cheaper and more expensive units has narrowed. But that compression isn’t coming from affordability improving at the low end. Instead, it’s driven by faster growth in cheaper rents and slower declines at the top.
“What we see across the country since 2019 is a compression of asking rents,” Berner said. “This is due to both a stronger run-up in lower-priced rentals and a more modest recent decline.”
Rents Are Falling — But Not Enough
December marked the 29th straight month of year-over-year rent declines. The median asking rent across the top 50 metro areas fell 0.7% from December 2024 to $1,689.
Still, those declines have not been enough to offset the sharp increases low-income renters absorbed during the pandemic years. While higher earners benefit from newer supply and price cuts, budget renters are left with limited options and minimal relief.
The Bottom Line
Rent prices are easing, but the relief is uneven. Higher-income renters are seeing the biggest gains, while lower-income households continue to face rising pressure. Until more affordable rental supply reaches the lower end of the market, rent affordability will remain a challenge for millions of Americans — even in a cooling market. For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group.
