Renting

Metro Boston sees steep decline in apartments for under $1,000

The drop-off is even more pronounced in Providence.

Boston ranked 24th in the nation for having the smallest percentage of apartments that rented for under $1,000 in 2023, according to Redfin. Pat Greenhouse/Globe Staff

By Sury Chakraborty

November 6, 2024

2 minutes to read

In metro Boston, 22.8 percent of renter households paid less than $1,000 per month in 2023, according to a report Redfin published on Oct. 30.

That share of the market has been gradually slipping. Back in 2012, it was 32.2 percent.

Nationally, the decline is more pronounced: In 2023, 32.1 percent of renter households paid less than $1,000 a month, reflecting drops from 35.2 percent in 2022, 37 percent in 2019, and 50.4 percent in 2012. That’s an 18.3 percentage point difference in 12 years.

The share dropped even more in Providence. Back in 2012, 65.7 percent of the apartment market charged under $1,000. Last year, it was 47 percent, an 18.7 drop. The region reportedly is seeing an uptick in demand as Greater Boston renters head south for more affordable housing.

Here’s the breakdown for the New England cities on the list:

METRO	2023	2022	2019	2012
Boston	22.8%	24.1%	25.0%	32.2%
Hartford	30.5%	39.4%	42.4%	47.6%
Providence	47.0%	53.0%	56.0%	65.7%

Credit: Redfin

The cities that saw the biggest biggest declines in this market share were Birmingham, Ala., Phoenix, Las Vegas, Charlotte, N.C., and Richmond, Va.

For this report, Redfin analyzed US Census Bureau data. “We excluded 2020 because of data collection issues experienced by the Census during the pandemic. This report covers US apartments in buildings with five or more units. Historical rents are inflation-adjusted to represent 2023 dollars,” the report stated.

The report covered the nation’s 50 largest metros.

Unsurprisingly, California had the smallest share of apartments for under $1,000 a month, with San Diego and San Jose topping the list, in that order, and Washington, D.C., Denver, Austin, and Miami following. In San Diego, 7.1 percent of renter households paid less than $1,000 a month in 2023.

The report said these areas “have either long been expensive or exploded in popularity in recent years, causing rents to rise.”

Boston ranked 24th.

The metros with the largest shares of apartments that rented for under $1,000 a month were Oklahoma City, New Orleans, Cleveland, Louisville, Ky., and Pittsburgh.

“The aforementioned metro areas have among the lowest asking rents in the country, but it’s worth noting that some have seen large increases lately — likely because those low rents have fueled an uptick in demand,” the report said.

Here’s how all of the metro areas fared:

U.S. Metro Area	2023	2022	2019	2012
National—U.S.	32.10%	35.20%	37.00%	50.40%
Atlanta	13.70%	16.60%	22.30%	56.10%
Austin, Texas	9.10%	13.70%	13.30%	43.90%
Baltimore	25.10%	25.60%	21.60%	31.60%
Birmingham, Ala.	44.00%	51.60%	61.70%	75.30%
Boston	22.80%	24.10%	25.00%	32.20%
Buffalo	55.20%	55.40%	59.10%	70.90%
Charlotte, N.C.	16.40%	23.20%	30.80%	63.60%
Chicago	30.40%	34.50%	32.30%	42.80%
Cincinnati	54.90%	62.70%	65.60%	80.00%
Cleveland	63.40%	65.10%	70.20%	73.30%
Columbus, Ohio	40.40%	45.10%	47.40%	74.40%
Dallas	14.70%	20.70%	26.20%	59.70%
Denver	8.50%	11.70%	12.90%	48.80%
Detroit	49.30%	57.90%	57.50%	72.60%
Hartford	30.50%	39.40%	42.40%	47.60%
Houston	30.40%	35.20%	35.30%	59.20%
Indianapolis	46.70%	51.30%	53.70%	74.90%
Jacksonville, Fla.	23.00%	25.50%	36.10%	55.40%
Kansas City, Mo.	43.00%	48.80%	54.70%	71.00%
Las Vegas	17.80%	26.80%	32.50%	61.10%
Los Angeles	13.00%	13.90%	12.30%	19.40%
Louisville, Ky.	57.60%	60.30%	65.60%	79.00%
Memphis	53.50%	59.80%	63.00%	68.40%
Miami	10.40%	13.40%	14.00%	28.40%
Milwaukee	49.50%	54.40%	53.70%	61.80%
Minneapolis	26.40%	29.10%	29.50%	51.20%
Nashville	17.80%	23.60%	26.90%	66.70%
New Orleans	63.50%	62.20%	60.50%	60.30%
New York	24.90%	25.00%	23.70%	27.60%
Oklahoma City	64.30%	71.70%	76.60%	76.60%
Orlando	10.60%	14.20%	18.50%	49.20%
Philadelphia	25.80%	28.20%	28.90%	36.50%
Phoenix	12.40%	15.60%	28.10%	60.70%
Pittsburgh	55.80%	62.10%	59.50%	73.20%
Portland, Ore.	15.40%	15.00%	16.40%	50.10%
Providence	47.00%	53.00%	56.00%	65.70%
Raleigh, N.C.	14.60%	16.70%	24.00%	57.20%
Richmond, Va.	18.60%	30.80%	33.00%	47.80%
Riverside, Calif.	21.70%	21.20%	23.30%	36.20%
Sacramento	17.90%	21.80%	19.60%	47.60%
Salt Lake City	18.00%	22.70%	25.20%	57.70%
San Antonio	32.20%	40.40%	42.60%	65.60%
San Diego	7.10%	9.10%	9.90%	12.90%
San Francisco	15.00%	15.20%	16.60%	20.30%
San Jose, Calif.	7.80%	10.30%	8.20%	12.30%
Seattle	11.60%	11.20%	12.90%	31.70%
St. Louis	53.90%	60.30%	62.40%	71.90%
Tampa	15.10%	21.40%	28.10%	51.90%
Virginia Beach, Va.	29.30%	30.60%	36.60%	36.40%
Washington, D.C.	8.00%	9.00%	10.40%	11.20%

Since 2019, these cities have seen an increase in the percentage of apartments renting for under $1,000: Baltimore (25.1 percent from 21.6 percent), New Orleans (3.5% from 60.5 percent), New York City (24.9 percent from 23.7 percent), and Los Angeles(13 percent from 12.3 percent).