Bungalow Q2 2022 U.S. Room Rent Report

The Bungalow National Average for Room Rentals in Q2 2022 is $1,177 an increase of 7.29% from Q1 2022. The rental market continues to recover from the impact of the pandemic, but the increase has been slow and steady. Summer is typically the busiest moving season where the industry sees a peak in rental prices, but this year’s increase has not been as prominent. For example, the industry is reporting just .5% increase in one-bedroom apartments this season.* According to a new report from CoStar Group, the national year over year rent growth was 9.2% in the second quarter of 2022, down from 11.4% in the first quarter.** The slower than normal summer increase in rent prices is a relief to renters who have gotten accustomed to lower rent options during the height of the pandemic, and is also likely due to the unpredictability of the stock market and the ever increasing cost of living (gas, groceries, supply chain issue, and talks of recession). Renting continues to be a very good option for so many people as fears of continued interest rate increases loom, housing shortages continue, layoffs are widespread, and the unprecedented cost of purchasing a home in major, desirable cities across the country keeps rising. Bungalow examined room sharing rent prices across the country for Q2 2022 in 12 cities. This is what the company’s data reveals…

*https://www.zumper.com/blog/rental-price-data/ **https://www.businesswire.com/news/home/20220707005752/en/Multifamily-Rent-Growth-Across-the-Country-Cools-in-Q2

Bungalow Q2 2022 Room Rent Data:

• San Francisco - continues to be one of the most expensive places to rent, no matter if you share an apartment or rent on your own

• San Francisco/Philadelphia - highest increase in Bungalow room rent from Q1 to Q2 2022 - San Francisco (17.75%) and Philadelphia (12.83%)

• Washington D.C. - moved to number 5 in the list of most expensive room rentals, surpassing Boston

• Boston - has the largest difference in room sharing savings compared to renting a one bedroom apartment

• Portland - for the first time this year Portland Bungalow room rent crossed $800 but it is still one of the most affordable cities

• The Bay Area is still the most expensive, but still lower than normal: Rents are nearing pre-pandemic levels. For example, the Bay Area has been the slowest to recover to sky high rent prices, but i we look at the history of room rentals since 2019 in the greater Bay Area, we are close to returning to 2019 levels:

  • Q2 2019 - $1,446

  • Q2 2020 - $954

  • Q2 2021 - $1,176

  • Q2 2022 - $1,414

• Bungalow room rents increased as expected from Q1 to Q2 in all cities:

Below are side by side comparisons of roommate living with Bungalow versus renting an entire one bedroom or splitting a two bedroom apartment in half per month*:

* Market data for one bedroom and two bedroom rent sourced from Rent.com, Zumper.com and ApartmentGuide.com - two bedroom data is the cost of a two bedroom split in half

To determine average room rent prices, Bungalow analyzed Q1 2022 data from Bungalow’s wide range of listings across the U.S. Prices are based on the average price for that respective quarter as a whole. Results were calculated with a 95% confidence level and a maximum of a $95 margin of error. The rent information included in this article is used for illustrative purposes only. The data contained herein do not constitute financial advice or a pricing guarantee for any apartment. The rent information included in this article is used for illustrative purposes only. The data contained herein do not constitute financial advice or a pricing guarantee for any apartment.