For the second year in a row, the average annual gross yield on three-bedroom homes in the U.S. is expected to rise – this time to 7.55%, up from 7.39% in 2023. Limited inventory and higher home prices that have pushed affordability out of reach for most workers are the cause, according to ATTOM's Q1 2024 Single-Family Rental Market report.

The report is intended to rank the best U.S. markets for buying single-family rental properties in 2024. It analyzed data from 341 counties with a population of at least 100,000 and found that rents rose more than home prices in 63% of them. The most notable examples were in the South.

The highest potential yields by county were in Indian River County, FL, St. Louis, MO, Cameron County, TX, Monroe County, NY, and Richmond County Ga. For counties with populations of more than one million, the highest potential yields were expected in Wayne County, MI, Allegheny County, PA, Cuyahoga County, OH, Cook County, IL, and Riverside County, CA, all with yields ranging from 9.7% to 12%.