After eight months of sustained growth, the Houston rental market plateaued in September.
According to the Houston Association of Realtors’ (HAR) September 2024 Rental Market Update, leased listings held steady at 3,457 single-family home rentals compared to 3,459 during the same time last year, The average lease price continued to rise, reaching $2,338 in September. That represents a 1.6 percent increase year-over-year.
The slight slowdown in the rental market was accompanied by an uptick in new listings. A total of 5,494 single-family rental properties were added to the Multiple Listing Service (MLS), marking a 7.6 percent increase compared to the same time last September. Days on Market, or the actual time it took to lease a home, extended to 34 days from 30 days last year.
“The slowdown in leasing activity is a sign that the market is starting to cool down a little after a period of rapid growth,” said HAR Chair Thomas Mouton with Century 21 Exclusive Properties. “However, the Greater Houston rental market remains strong, and we anticipate continued demand for rental properties in the coming months.”
The townhome/condominium rental market also saw a slowdown in leasing activity in September. The number of leases for these properties decreased by 7.1 percent year-over-year to 588 units compared to 633 last year. The average lease price rose 4.0 percent to $1,957.
The number of new listings for townhomes and condominiums rose by 4.0 percent in September to 985 units compared to 947 last year. The average time it took to lease a townhome or condominium in September increased to 43 days from 32 days last year.
HAR’s Rental Market Update is distributed the third Wednesday of each month, one week after the release of the monthly Sales Market Update. An archive of all HAR housing reports is available in the HAR Online Newsroom.
