Housing prices are soaring and Americans are suffering the consequences.
A new report from Redfin, a leading full service real estate firm, announced that median rent prices have hit an all-time high in the United States.
The median monthly rent averaged $2,002 in May, the first time ever that figure has surpassed $2,000.
Rent hikes, along with general inflation, are affecting all areas of the country. Over the past year, cities have seen dramatic surges in the price of rent, with Austin, Texas leading with a 48% increase. Nashville, Seattle, and Cincinnati saw an over 30% increase.
Renting has been the go-to housing option for many Americans, particularly young people. But even for those who are in a position to purchase a home, renting, despite its record highs, might still be the more practical option. Redfin deputy chief economist Taylor Marr explains why despite the price hikes, many Americans will still choose to rent:
While renting has become more expensive, it is now more attractive than buying for many Americans this year as mortgage payments have surpassed rents on many homes. Although we expect rent-price growth to continue to slow in the coming months, it will likely remain high, causing ongoing affordability issues for renters.
With no escape from exorbitant housing costs, coupled with massive inflation, American families are struggling. The consequences of rent hikes have proven to be overwhelming.
For example, Northern Texas has seen some of the most dramatic rent increases, and its communities are suffering devastating consequences. Over the past several weeks, there has been a spike in eviction filings. NBC 5 Dallas-Fort Worth reports on rise in evictions in its community:
Texas cities are among those in the nation with the highest amount of filings in just the last week. Between Dallas, Houston and Fort Worth, nearly 3,000 evictions have been filed in the past seven days.
Many Americans are struggling financially and the never-ending inflation is only exacerbating the problem. If politicians in Washington are serious about providing solutions and relieving the pain of their constituents, they should work to get inflation under control to make basic necessities, such as shelter, affordable for Americans.