With home ownership out of the question for many, the single-family home rental (SFR) market can provide a useful alternative. However, increasing supply means homes are spending more days on the market and rent growth is slowing, according to a new report from HouseCanary.

In the first half of 2024, the inventory of homes for rent nationwide rose 16.7% compared to the same period in 2023. As a result, days on the market climbed 15.4% and rents grew only 2.3%. The impact was especially hard on the Southern states where inventory levels rose the most.

"Florida saw the biggest increase in pricing between 2021 – 2022, but our latest report showed the opposite trend, with the state seeing the most significant decrease in pricing in the first half of this year," said Chris Stroud, co-founder and chief of research at House Canary. Of the 10 metros with the biggest increase in inventory, four were in Florida.