Renting Sun Belt Apartments Still a Bargain Compared to Coasts

The rhythm of migration out of coastal areas with high housing costs into less expensive Sun Belt cities accelerated during the pandemic. Skyrocketing demand for apartments in markets such as Austin, Texas; Phoenix, Arizona; and Tampa, Florida, pushed rent growth to record highs. Pre-pandemic rent growth in the Sun Belt was already outpacing coastal rivals, but with double-digit increases over the past 18 months, one may begin to wonder if the region has retained its housing cost advantage.