After being the single hottest rental market in the United States a year ago, North Jersey has plummeted to third place.
According to Rent Café, the study identifies several reasons, including a rise in the number of newly developed apartments, which account for 0.51% of rental units this year, up from 0.27% in 2023.
One of the strange numbers is that there are 9 renters for every unit, which is down from 12 renters competing for each flat last year. This decrease in potential tenants may be contributing to the increasing vacancy duration, as the average vacant days for units increased from 34 in 2023 to 38 in 2024.
However, the lease renewal rate increased somewhat, from 72.2% in 2023 to 73.1% in 2024, thus limiting opportunities for new tenants in the market.
As of early 2024, the median monthly rent in New Jersey for all property types is $2,500, a $150 rise over the previous year. This increase is part of a larger trend in the Garden State, where rental prices have continuously risen, making it one of the most expensive markets in the country.
The state’s rental inventory is diverse, ranging from luxury apartments in coastal projects to single-family houses in calmer neighborhoods. For example, a premium apartment in Newark may cost roughly $2,750 per month and include amenities such as secure parking and a fitness center. Meanwhile, a smaller two-bedroom home with a backyard might be rented for $2,400 per month.
Miami-Dade, Florida has surpassed North Jersey as the most competitive rental market, with Milwaukee, Wisconsin moving up to second place.
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