Minneapolis Tops List of Most In-Demand Cities for Renters

Minneapolis was the most in-demand city for renters during the first half of 2024 thanks to a strong job market, walkable neighborhoods, a desirable lifestyle and a growing supply of new apartments with modern amenities, according to RentCafe.com’s mid-year rental activity report.

The number of renters searching for apartments in Minneapolis using RentCafe.com nearly doubled compared to the first half of 2023 and saved searches increased 49%, which the report considers a strong indicator of interest. The report noted high demand in Minneapolis has led to a 21% decrease in available apartments year over year.

RentCafe.com’s report revealed that renters are taking a meticulous approach to their apartment searches by exploring several options before signing on the dotted line. The report ranked cities based on renter engagement measured by searches, likes, saves and other activity on its site.

Overland Park, Kansas, ranked second on RentCafe’s list during the first half of the year, even edged out Minneapolis for the top spot in April. Interest in the city situated near Kansas City, Kansas, was driven by a strong economy bolstered by major employers, a relatively affordable cost of living compared to coastal cities, and a high quality of life with excellent schools and amenities, the report said. Overland Park’s soaring popularity among renters in the first half of 2024 is evident in the 129% surge in page views on RentCafe.com compared to the same period of 2024, as well as a 31% increase in saved searches for apartments and a 21% surge in listings saved as favorites.

Atlanta came in at third on the list driven by strong online engagement last year, including a month at the top of the list in April 2023. Besides its reasonable cost of living, Atlanta’s appeal is driven by a thriving job market across diverse industries as well as major corporations such as Coca-Cola, Delta Airlines and The Home Depot, said the report.

By region, the West is the strongest for rental engagement, slightly ahead of the South and the Midwest. Of the top 30 most-coveted cities for renters, 10 are in the West, including Tacoma, Washington; North Las Vegas, Nevada; Sacramento; Peoria, Arizona; and Denver. Notably, the rise of remote work has prompted many renters to seek affordable options in the West while keeping their city jobs, said RentCafe. Midwestern cities including Cleveland, Detroit, Cincinnati and Omaha ranked highly in the Midwest, and Washington, D.C.; Orlando; Tulsa, Oklahoma; and Little Rock, Arkansas were popular Southern cities for renters.

The Northeast logged lower demand, with only two cities registering in RentCafe’s top 30 – Queens, New York, and Philadelphia.