Nearly 3 in 4 rental listings are considered affordable, the highest for May in years
Rhea-AI Summary
Zillow (Z) reports that in May 2026, 74% of rental listings on its platform were affordable to a median-income household, the highest May share since at least 2021. Typical U.S. rent was $1,951, up 2% year over year, with 39.6% of listings offering concessions.
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News Market Reaction – Z
In the Jun 18 session, Z gained 0.31%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Historical Context
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| Jun 16 | Home color analysis | Neutral | +2.8% | Zillow study linking bedroom paint colors to higher or lower offers. |
| Jun 15 | Starter home prices | Neutral | +1.0% | Report on growth in $1M starter-home cities and typical U.S. starter values. |
| Jun 11 | AI Assist rental data | Positive | -3.6% | Data showing higher application, tour, and lease rates using AI Assist. |
| Jun 04 | May housing report | Neutral | +1.1% | Update on mortgage rates, home values, inventory, and rent trends in May. |
| Jun 04 | Rent vs. buy study | Neutral | +1.1% | Analysis of break-even timelines between renting and buying across metros. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Recent Zillow data and research releases have generally coincided with modestly positive moves, with one negative reaction to an AI-focused update.
Key Terms
zillow observed rent index technical
AI-generated analysis. How Rhea-AI works. Not financial advice.
Affordability gains are biggest for apartments, as a wave of new buildings continues to pay off for renters
74% of rental listings on Zillow in May were affordable to a median-income household, the highest share ever recorded for this time of year, according to a new Zillow analysis.- The share of listings priced below
$1,000 8.8% , also the highest for any May since 2022. - Nine out of 10 rentals are affordable in
Raleigh ,Austin ,Louisville andSalt Lake City .
After setting records during the pandemic, rent price growth has cooled since 2022, in large part due to a multifamily construction boom that reached a 50-year high in 2024. Builders reacted to strong housing demand during the pandemic and took advantage of borrowing costs that were still low. More apartments mean more options and less competition for any single unit, slowing rent growth and allowing incomes to catch up. The typical rent nationwide is up just
That figure of
"More supply on the market means more choices, and more choices mean landlords have to compete on price and incentives," said Kara Ng, senior economist at Zillow. "The combination of cooling rents and rising incomes has quietly moved the affordability needle in a meaningful way. The open question is how long it lasts. The construction boom that drove affordability gains has slowed, and rent growth could firm up again in the months ahead."
The gains are most pronounced in the multifamily rental segment, where
Not every market is becoming more affordable; the share of affordable rental listings fell from last year in seven major metros.
The picture for renters nationwide is even better than the headline rent makes it appear: Nearly
Metro Area* | Typical | Typical | Share of Listings | Share of | Share of Listings |
2.0 % | 74.1 % | 8.8 % | 39.6 % | ||
4.5 % | 33.4 % | 0.6 % | 17.5 % | ||
1.4 % | 43.6 % | 0.8 % | 32.2 % | ||
5.4 % | 62.4 % | 2.2 % | 20.6 % | ||
-0.1 % | 86.8 % | 8.0 % | 63.4 % | ||
-0.6 % | 80.7 % | 14.3 % | 53.8 % | ||
0.0 % | 84.8 % | 0.7 % | 56.5 % | ||
3.5 % | 76.8 % | 3.6 % | 33.2 % | ||
1.1 % | 25.6 % | 0.4 % | 28.1 % | ||
1.5 % | 85.0 % | 3.2 % | 58.8 % | ||
2.5 % | 50.2 % | 0.4 % | 29.8 % | ||
-0.3 % | 83.1 % | 7.3 % | 59.8 % | ||
7.1 % | 68.4 % | 0.9 % | 26.7 % | ||
2.2 % | 49.9 % | 2.7 % | 29.0 % | ||
2.9 % | 82.8 % | 14.0 % | 24.0 % | ||
1.4 % | 82.5 % | 2.5 % | 53.1 % | ||
3.6 % | 89.0 % | 5.8 % | 40.8 % | ||
1.6 % | 50.7 % | 0.4 % | 37.8 % | ||
-1.0 % | 61.4 % | 1.5 % | 50.5 % | ||
-1.5 % | 87.8 % | 4.9 % | 65.8 % | ||
2.0 % | 85.8 % | 4.9 % | 39.0 % | ||
3.8 % | 86.9 % | 18.0 % | 26.3 % | ||
0.4 % | 69.5 % | 1.7 % | 54.8 % | ||
0.5 % | 83.7 % | 4.1 % | 65.3 % | ||
-1.8 % | 89.0 % | 21.8 % | 56.6 % | ||
0.6 % | 89.3 % | 2.2 % | 48.2 % | ||
1.9 % | 76.3 % | 2.1 % | 30.7 % | ||
4.0 % | 77.6 % | 16.6 % | 25.8 % | ||
3.2 % | 83.9 % | 15.3 % | 29.7 % | ||
-2.2 % | 91.0 % | 11.9 % | 64.7 % | ||
0.1 % | 78.5 % | 6.4 % | 53.0 % | ||
3.5 % | 86.6 % | 12.5 % | 33.6 % | ||
1.5 % | 88.0 % | 9.6 % | 50.6 % | ||
2.4 % | 86.7 % | 12.2 % | 48.7 % | ||
3.9 % | 77.5 % | 22.5 % | 23.6 % | ||
5.5 % | 76.9 % | 0.4 % | 29.5 % | ||
0.1 % | 78.6 % | 2.8 % | 64.7 % | ||
5.8 % | 78.0 % | 2.8 % | 25.2 % | ||
3.7 % | 53.1 % | 2.6 % | 12.8 % | ||
0.9 % | 82.6 % | 6.4 % | 48.4 % | ||
3.9 % | 74.8 % | 12.2 % | 20.9 % | ||
2.8 % | 88.7 % | 29.8 % | 31.4 % | ||
0.0 % | 94.8 % | 3.1 % | 62.7 % | ||
0.9 % | 81.5 % | 26.4 % | 41.7 % | ||
3.3 % | 81.3 % | 3.3 % | 48.1 % | ||
2.6 % | 90.5 % | 20.1 % | 42.0 % | ||
0.4 % | 59.6 % | 10.8 % | 19.3 % | ||
0.4 % | 90.2 % | 5.7 % | 63.4 % | ||
3.0 % | 77.1 % | 1.9 % | 22.1 % | ||
3.3 % | 75.1 % | 11.3 % | 9.6 % | ||
1.2 % | 85.5 % | 19.9 % | 39.2 % |
*Table ordered by market size
About Zillow Group
Zillow Group, Inc. (Nasdaq: Z and ZG) is reimagining real estate to make home a reality for more and more people.
As the most visited real estate app and website in the United States, Zillow connects hundreds of millions of consumers with innovative technology, trusted agents and loan officers, and seamless digital solutions. With industry-leading tools and resources, Zillow supercharges real estate professionals so they can grow their businesses and deliver exceptional client experiences. For renters and housing providers, Zillow offers not only a robust marketplace but a set of end-to-end products and services to streamline applications, leases, payments and more.
Zillow's ecosystem spans the entire home journey — from dreaming and shopping to renting, buying, selling and financing.
Zillow Group's affiliates, subsidiaries and brands include Zillow®, Zillow Premier Agent®, Zillow Home Loans®, Zillow Rentals®, Zillow® New Construction, Trulia®, StreetEasy®, Out East®, HotPads®, Follow Up Boss®, ShowingTime®, dotloop® and Zillow® Closing.
All marks herein are owned by MFTB Holdco, Inc., a Zillow affiliate. Zillow Home Loans, LLC is an Equal Housing Lender, NMLS #10287 (www.nmlsconsumeraccess.org). © 2026 MFTB Holdco, Inc., a Zillow affiliate.
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SOURCE Zillow