November has seen a nationwide dip in rents, largely driven by sharp declines in some of the hottest markets, including Sun Belt cities like Austin, Tampa, and Raleigh. These areas, which saw explosive growth during the pandemic, are now experiencing the most significant drops, contributing to a 0.7% year-over-year decline in national asking rents. This shift reflects a move toward affordability in these once red-hot regions, according to Redfin’s latest multifamily report.

Austin, Texas, experienced the steepest drop in asking rents at 12.4% year-over-year, followed by Tampa, Florida, and Raleigh, North Carolina, which saw declines of 11.3% and 8.4%, respectively.

“Affordability is improving as rents fall, wages rise, and more new apartment buildings open,” said Redfin senior economist Sheharyar Bokhari. “As construction starts to slow, rents will eventually tick back up, but 2025 is shaping up to be a renter’s market, with the potential for the affordability gap between buying and renting to widen.”