60 up-and-coming real estate markets where rental investors & property managers can grow in 2022

Robin Young
Robin Young | 30 min. read
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Published on January 4, 2022

When we released our last up-and-coming markets list in January 2020, the first COVID-19 case had just been identified in the United States. We had an idea that we were due for a downturn in the economy, but we didn’t yet know what would cause it—and a global pandemic certainly wasn’t at the top of our list of possibilities.

But even though pandemic-driven transformation has visited every corner of the real estate market over the last two years—fueling speculation about where residents would decide to live as the popularity of low-density communities and remote work grew—there’s a lot that hasn’t changed. Housing prices have continued their rapid rise in big-name cities—remaining expensive in primary markets like New York City and San Francisco, and growing more expensive in popular secondary markets like Austin, Seattle, and Denver. As a result of the ongoing housing affordability crisis—and as many residents reach milestones that motivate them to search for a home of their own—interest in suburban neighborhoods, single-family properties, and smaller cities has skyrocketed, granting them access to more space at lower prices.

This year’s list of up-and-coming real estate markets reflects these shifts, which began prior to the pandemic, but have accelerated over the last two years. Markets that were previously outshined by their nearby siblings have risen up the ranks due to their relative affordability. For example, just beyond the perimeter of Greater Boston, Portland, Providence, and Manchester rose by an average of 38 positions this year; and in California, Riverside and San Diego rose by an average of 49 positions, while Sacramento remained in the top 20 from 2020. And simultaneously, as the affordability of superstars like Nashville, Phoenix, Seattle, and Austin has suffered due to overwhelming demand, smaller markets in the area have benefited—for example, Knoxville, Chattanooga, Tucson, Spokane, and San Antonio.

Another thing that hasn’t changed is that the vast majority of growth is still happening in the Sun Belt, where markets with strong employment growth and housing development offer residents a high quality of life at a more affordable price point. Sun Belt cities made up 68% of the cities on our list, including all but two markets in our top 10; and five states—Florida, Texas, California, North Carolina, and Tennessee—contain 43% of the markets on our list.

Those are the trends behind the markets you’ll see on this list—but for property managers and investors, we know that nothing is more important than the raw numbers. We considered over 21,000 data points across the 285 metro areas that we evaluated this year. Those data points included more than 70 different measures of opportunity for investors and property managers; economic health and job growth; past and future population growth; housing availability and affordability; and quality of life.

For each of the 60 real estate markets we’ve selected as top picks, you’ll find statistics on rental occupancy, rent growth, cap rates, and population and employment growth to help you evaluate the opportunity that awaits you in each market. For the top 30, we’ve also included a list of the measures where each market was ranked toward the top to help you understand the unique blend of strengths within each location. At the bottom of the post, you’ll find a Methodology section detailing each of the measures that was taken into account for this list and the sources from which each data point was derived.

Cheers to your growth in 2022!

Top Real Estate Markets in Each Category

Note: These rankings apply solely to the markets on our list.

Real Estate Markets with the Highest Cap Rates for Multifamily Properties in 2021

  1. Manchester/Nashua, New Hampshire – 9.4%
  2. Baltimore/Columbia/Towson, Maryland – 8.5%
  3. Deltona/Daytona Beach/Ormond Beach, Florida – 8.2%
  4. Portland, Maine – 8.1%
  5. Cincinnati, Ohio – 8.0%

Source: National Association of Realtors – capitalization rate for multifamily sales transactions executed in Q3-2021

Real Estate Markets Where Rents Have Risen the Most in 2021

  1. Naples/Immokalee/Marco Island, Florida – 43.1%
  2. North Port/Sarasota/Bradenton, Florida – 36.9%
  3. Cape Coral/Fort Myers, Florida – 27.8%
  4. Tampa/St. Petersburg/Clearwater, Florida – 26.0%
  5. Phoenix/Mesa/Scottsdale, Arizona – 23.4%

Source: National Association of Realtors – year-over-year change in effective rent growth per unit as of Q3-2021

Real Estate Markets Where Home Prices Have Risen the Most in 2021

  1. Austin/Round Rock, Texas – 33.5%
  2. Naples/Immokalee/Marco Island, Florida – 32.0%
  3. Boise, Idaho – 31.5%
  4. Salt Lake City, Utah – 26.2%
  5. Phoenix/Mesa/Scottsdale, Arizona – 25.8%

Source: National Association of Realtors – year-over-year change in single-family home prices as of Q3-2021

Real Estate Markets Where Condo Prices Have Risen the Most in 2021

  1. Austin/Round Rock, Texas – 31.9%
  2. Knoxville, Tennessee – 26.7%
  3. Salt Lake City, Utah – 26.2%
  4. North Port/Sarasota/Bradenton, Florida – 25.5%
  5. Portland, Maine – 24.8%

Source: National Association of Realtors – year-over-year change in condo prices as of Q3-2021

Real Estate Markets with the Lowest Rental Property Vacancy Rates in 2021

  1. Manchester/Nashua, New Hampshire – 1.3%
  2. Fresno, California – 1.4%
  3. Riverside/San Bernardino/Ontario, California – 1.9%
  4. San Diego/Carlsbad, California – 2.4%
  5. Providence/Warwick, Rhode Island – 2.5%

Source: National Association of Realtors, vacancy rates for multifamily properties in Q3-2021

Real Estate Markets with the Highest Population Growth During the Pandemic

  1. Austin/Round Rock, Texas – grew by 3.0% in 2020
  2. Boise, Idaho – 2.7%
  3. Cape Coral/Fort Myers, Florida – 2.4%
  4. Phoenix/Mesa/Scottsdale, Arizona – 2.1%
  5. Huntsville, Alabama – 2.1%

Source: National Association of Realtors, annual population growth as of 2020

Tier 1: The Top 30 Up-and-Coming Real Estate Markets in 2022

Select your city to jump straight to that section:

Atlanta, GA | Austin, TX | Boise, ID | Cape Coral, FL | Charleston, SC
Charlotte, NC | Dallas, TX | Denver, CO | Durham, NC | Houston, TX
Indianapolis, IN | Jacksonville, FL | Knoxville, TN | Las Vegas, NV
Manchester, NH | Miami, FL | Nashville, TN | North Port, FL
Orlando, FL |
Phoenix, AZ | Raleigh, NC | Riverside, CA
Sacramento, CA | Salt Lake City, UT | San Antonio, TX
San Diego, CA |
Seattle, WA | Spokane, WA | Tampa, FL | Tucson, AZ

Jump ahead to our Tier II picks

#1: Boise, Idaho

Boise, Idaho | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Boise Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.8%
  • Effective rent growth (Q3-’21, YoY): 15.9%
  • Multifamily cap rate (Q3-’21): 5.5%
  • Annual population growth (2020, YoY): 2.7%
  • Projected annual population growth (‘22-’26): 1.9%
  • Projected annual employment growth (‘22-’26): 1.7%
  • Change in position between 2020 and 2022: 0

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Boise Real Estate Market Stacks Up Against Other Metros

  • #1: Markets with the most home price growth over the last 3 years
  • #1: Most well-run cities in the U.S. in 2021
  • #2: Markets with the most population growth and household formation projected for the next 5 years
  • #2: Highest-rated job markets in the U.S. in 2021
  • #5: Real estate markets with the strongest conditions in 2021
  • #5: Markets with the most employment growth projected for the next 5 years
  • #5: Best cities to start a business in 2021
  • #7: Highest-rated local economies in the U.S.
  • #8: Best places to live in the U.S.
  • #9: Markets with the largest increase in asking rents in 2021
  • #10: Markets with the most population growth over the last 10 years
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#2: Salt Lake City, Utah

Salt Lake City, Utah | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Salt Lake City Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.7%
  • Effective rent growth (Q3-’21, YoY): 17.6%
  • Multifamily cap rate (Q3-’21): 4.2%
  • Annual population growth (2020, YoY): 0.8%
  • Projected annual population growth (‘22-’26): 1.3%
  • Projected annual employment growth (‘22-’26): 1.5%
  • Change in position between 2020 and 2022: +25

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Salt Lake City Real Estate Market Stacks Up Against Other Metros

  • #1: Highest-rated job markets in the U.S. in 2021
  • #1: Markets with a high proportion of younger residents
  • #1: Markets with a high level of investment in community infrastructure
  • #3: Markets with the most condo price growth in 2021
  • #6: Real estate markets with the strongest conditions in 2021
  • #7: Markets where housing permit creation is keeping up with household formation
  • #8: Markets with the most home price growth over the last 3 years
  • #8: Markets with the most population growth and household formation projected for the next 5 years
  • #8: Markets with the lowest unemployment rate in 2021
  • #9: Most in-demand real estate markets among investors for 2022
  • #9: Markets with the most development opportunity in 2022
  • #10: Highest-rated local economies in the U.S.
  • Check out the Methodology section for details on each of these rankings.

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#3: Austin & Round Rock, Texas

Austin, Texas | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Austin Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.7%
  • Effective rent growth (Q3-’21, YoY): 22.0%
  • Multifamily cap rate (Q3-’21): 3.9%
  • Annual population growth (2020, YoY): 3.0%
  • Projected annual population growth (‘22-’26): 2.0%
  • Projected annual employment growth (‘22-’26): 2.4%
  • Change in position between 2020 and 2022: -1

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Austin Real Estate Market Stacks Up Against Other Metros

  • #1: Most in-demand real estate markets among investors for 2022
  • #1: Real estate markets with the strongest conditions in 2021
  • #1: Markets with the most population growth and household formation projected for the next 5 years
  • #1: Most condo price growth in 2021
  • #1: Highest-rated local economies in the U.S.
  • #1: Markets with the most population growth over the last 10 years
  • #3: Markets with the most employment growth projected for the next 5 years
  • #4: Metros with the highest-rated real estate market conditions in 2021
  • #4: Markets with the best real estate prospects in 2022
  • #5: Markets with the most home price growth over the last 3 years
  • #5: Best places to live in the U.S. in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#4 (tie): Raleigh & Cary, North Carolina

Raleigh, North Carolina | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Raleigh Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.6%
  • Effective rent growth (Q3-’21, YoY): 21.4%
  • Multifamily cap rate (Q3-’21): 4.9%
  • Annual population growth (2020, YoY): 1.1%
  • Projected annual population growth (‘22-’26): 1.3%
  • Projected annual employment growth (‘22-’26): 1.2%
  • Change in position between 2020 and 2022: +4

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Raleigh Real Estate Market Stacks Up Against Other Metros

  • #2: Markets with the best real estate prospects in 2022
  • #2: Best places to live in the U.S. in 2021
  • #2: Markets with a high level of investment in community infrastructure
  • #3: Highest-rated local economies in the U.S.
  • #3: Markets with the most development opportunity in 2022
  • #5: Most in-demand real estate markets among investors for 2022
  • #6: Markets with the most population growth over the last 10 years
  • #6: Markets with a strong supply of affordable and available rentals
  • #7: Most well-run cities in the U.S. in 2021
  • #7: Best cities to start a business in 2021
  • #8: Markets with the most population growth and household formation projected for the next 5 years
  • #8: Real estate markets with the strongest conditions in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#4 (tie): Phoenix, Mesa & Scottsdale, Arizona

Phoenix, Arizona | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Phoenix Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.6%
  • Effective rent growth (Q3-’21, YoY): 23.4%
  • Multifamily cap rate (Q3-’21): 4.9%
  • Annual population growth (2020, YoY): 2.1%
  • Projected annual population growth (‘22-’26): 1.3%
  • Projected annual employment growth (‘22-’26): 1.7%
  • Change in position between 2020 and 2022: +10

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Phoenix Real Estate Market Stacks Up Against Other Metros

  • #3: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #3: Markets with the best real estate prospects in 2022
  • #3: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #5: Markets with the most employment growth projected for the next 5 years
  • #6: Markets with the most home price growth over the last 3 years
  • #6: Highest-rated local economies in the U.S.
  • #6: Markets with the most development opportunity in 2022
  • #7: Markets with a high level of investment in community infrastructure
  • #7: Markets with the largest increase in asking and effective rents in 2021
  • #8: Markets with the most population growth and household formation projected for the next 5 years
  • #9: Markets with the most condo price growth in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#6: Tampa, St. Petersburg & Clearwater, Florida

Tampa, Florida | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Tampa Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.5%
  • Effective rent growth (Q3-’21, YoY): 26.0%
  • Multifamily cap rate (Q3-’21): 5.9%
  • Annual population growth (2020, YoY): 1.4%
  • Projected annual population growth (‘22-’26): 1.0%
  • Projected annual employment growth (‘22-’26): 1.1%
  • Change in position between 2020 and 2022: +14

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Tampa Real Estate Market Stacks Up Against Other Metros

  • #1: Markets with the most development opportunity in 2022
  • #4: Markets with the largest increase in asking rents in 2021
  • #4: Markets with a high level of investment in community infrastructure
  • #5: Markets with the best real estate prospects in 2022
  • #5: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #5: Markets with the largest increase in effective rents in 2021
  • #8: Highest-rated local economies in the U.S.
  • #9: Best cities to start a business in 2021
  • #11: Markets where renting is more affordable than owning a home
  • #12: Most in-demand real estate markets among investors for 2022
  • #13: Markets with high levels of inmigration and low levels of outmigration in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#7: Durham & Chapel Hill, North Carolina

Durham, North Carolina | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Durham Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.8%
  • Effective rent growth (Q3-’21, YoY): 17.3%
  • Multifamily cap rate (Q3-’21): 3.7%
  • Annual population growth (2020, YoY): 1.1%
  • Projected annual population growth (‘22-’26): 1.3%
  • Projected annual employment growth (‘22-’26): 1.2%
  • Change in position between 2020 and 2022: +6

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Durham Real Estate Market Stacks Up Against Other Metros

  • #2: Best estate prospects for 2022
  • #2: Real estate markets with the strongest conditions in 2021
  • #2: Best places to live in the U.S. in 2021
  • #2: Best cities to start a business in 2021
  • #2: Markets with a high level of investment in community infrastructure
  • #3: Highest-rated local economies in the U.S.
  • #3: Markets with the most development opportunity in 2022
  • #4: Most well-run cities in the U.S. in 2021
  • #5: Most in-demand real estate markets among investors for 2022
  • #6: Markets with a strong supply of affordable and available rentals
  • #7: Small cities with the best quality of life for residents
  • #7: Best cities for jobs in the U.S. in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#8: Jacksonville, Florida

Jacksonville, Florida | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Jacksonville Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.7%
  • Effective rent growth (Q3-’21, YoY): 21.9%
  • Multifamily cap rate (Q3-’21): 4.3%
  • Annual population growth (2020, YoY): 1.7%
  • Projected annual population growth (‘22-’26): 1.2%
  • Projected annual employment growth (‘22-’26): 1.3%
  • Change in position between 2020 and 2022: -1

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Jacksonville Real Estate Market Stacks Up Against Other Metros

  • #12: Markets with the largest increase in asking and effective rents in 2021
  • #13: Markets with the most population growth and household formation projected for the next 5 years
  • #14: Best cities to start a business in 2021
  • #15: Markets with high levels of inmigration and low levels of outmigration in 2021
  • #20: Markets with the most employment growth projected for the next 5 years
  • #21: Most desirable places to live in the U.S.
  • #21: Markets with the most development opportunity in 2022
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#9: Riverside, San Bernardino & Ontario, California

Riverside, California | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Riverside Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 1.9%
  • Effective rent growth (Q3-’21, YoY): 15.4%
  • Multifamily cap rate (Q3-’21): 5.2%
  • Annual population growth (2020, YoY): 0.8%
  • Projected annual population growth (‘22-’26): 1.0%
  • Projected annual employment growth (‘22-’26): 1.8%
  • Change in position between 2020 and 2022: +48

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Riverside Real Estate Market Stacks Up Against Other Metros

  • #4: Markets with the most employment growth projected for the next 5 years
  • #6: Markets with a high proportion of younger residents
  • #7: Most in-demand real estate markets among investors for 2022
  • #12: Markets with the most development opportunity in 2022
  • #13: Highest-rated local economies in the U.S.
  • #14: Markets with a high level of investment in community infrastructure
  • #17: Markets with the best real estate prospects in 2022
  • #19: Markets with the largest increase in asking and effective rents in 2021
  • #19: Markets with the most home price growth over the last 3 years
  • #20: Markets with the most population growth and household formation projected for the next 5 years
  • Check out the Methodology section for details on each of these rankings.

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#10: Dallas, Fort Worth & Arlington, Texas

Dallas, Texas | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Dallas Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.7%
  • Effective rent growth (Q3-’21, YoY): 15.2%
  • Multifamily cap rate (Q3-’21): 5.6%
  • Annual population growth (2020, YoY): 1.6%
  • Projected annual population growth (‘22-’26): 1.4%
  • Projected annual employment growth (‘22-’26): 1.6%
  • Change in position between 2020 and 2022: +42

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Dallas Real Estate Market Stacks Up Against Other Metros

  • #2: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #3: Highest-rated local economies in the U.S.
  • #3: Markets with a high proportion of younger residents
  • #5: Markets with the most population growth and household formation projected for the next 5 years
  • #7: Real estate markets with the strongest conditions in 2021
  • #7: Markets with the most development opportunity in 2022
  • #8: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #8: Markets with a high level of investment in community infrastructure
  • #9: Markets with the most employment growth projected for the next 5 years
  • #10: Most in-demand real estate markets among investors for 2022
  • #12: Best cities to start a business in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#11: Knoxville, Tennessee

Knoxville, Tennessee | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Knoxville Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 2.6%
  • Effective rent growth (Q3-’21, YoY): 14.0%
  • Multifamily cap rate (Q2-’21): 6.5%
  • Annual population growth (2020, YoY): 1.0%
  • Projected annual population growth (‘22-’26): 0.6%
  • Projected annual employment growth (‘22-’26): 0.8%
  • Change in position between 2020 and 2022: +50

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Knoxville Real Estate Market Stacks Up Against Other Metros

  • #2: Markets with the most condo price growth in 2021
  • #3: Markets with a relatively affordable cost of doing business
  • #9: Best cities for jobs in the U.S. in 2021
  • #12: Markets with a strong supply of affordable and available rentals
  • #14: Markets with the most home price growth over the last 3 years
  • #17: Highest-rated job markets in the U.S. in 2021
  • #23: Markets with a high level of investment in community infrastructure
  • #24: Lowest unemployment rates in 2021
  • #25: Markets where renting is more affordable than owning a home
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#12: Atlanta, Sandy Springs & Roswell, Georgia

Atlanta, Georgia | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Atlanta Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.2%
  • Effective rent growth (Q3-’21, YoY): 21.0%
  • Multifamily cap rate (Q3-’21): 5.1%
  • Annual population growth (2020, YoY): 1.0%
  • Projected annual population growth (‘22-’26): 1.1%
  • Projected annual employment growth (‘22-’26): 1.5%
  • Change in position between 2020 and 2022: +22

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Atlanta Real Estate Market Stacks Up Against Other Metros

  • #3: Best cities for jobs in the U.S. in 2021
  • #4: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #8: Markets with the best real estate prospects in 2022
  • #8: Markets with the most development opportunity in 2022
  • #9: Best cities to start a business in 2021
  • #10: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #11: Markets with a high proportion of younger residents
  • #12: Metros with the highest-rated real estate market conditions in 2021
  • #12: Highest-rated local economies in the U.S.
  • #14: Most in-demand real estate markets among investors for 2022
  • #14: Markets with the most employment growth projected for the next 5 years
  • #15: Markets with the largest increase in asking and effective rents in 2021
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#13: Tucson, Arizona

Tucson, Arizona | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Tucson Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.3%
  • Effective rent growth (Q3-’21, YoY): 15.9%
  • Multifamily cap rate (Q3-’21): 6.0%
  • Annual population growth (2020, YoY): 1.1%
  • Projected annual population growth (‘22-’26): 0.6%
  • Projected annual employment growth (‘22-’26): 1.1%
  • Change in position between 2020 and 2022: +22

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Tucson Real Estate Market Stacks Up Against Other Metros

  • #6: Markets with the most condo price growth in 2021
  • #9: Markets with the most home price growth over the last 3 years
  • #17: Markets with a relatively affordable cost of doing business
  • #20: Most well-run cities in the U.S. in 2021
  • #20: Markets with the most economic growth projected for the next 5 years
  • #21: Markets with the largest increase in asking rents in 2021
  • #25: Highest-rated job markets in the U.S. in 2021
  • #26: Markets where renting is more affordable than owning a home
  • Check out the Methodology section for details on each of these rankings.

Return to the list

#14: Nashville, Murfreesboro & Franklin, Tennessee

Nashville, Tennessee | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Nashville Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.5%
  • Effective rent growth (Q3-’21, YoY): 16.4%
  • Multifamily cap rate (Q3-’21): 4.0%
  • Annual population growth (2020, YoY): 1.4%
  • Projected annual population growth (‘22-’26): 1.3%
  • Projected annual employment growth (‘22-’26): 1.6%
  • Change in position between 2020 and 2022: +10

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Nashville Real Estate Market Stacks Up Against Other Metros

  • #1: Most in-demand real estate markets among investors for 2022
  • #1: Markets with the best real estate prospects in 2022
  • #2: Markets with the most development opportunity in 2022
  • #2: Highest-rated local economies in the U.S.
  • #6: Markets with a high level of investment in community infrastructure
  • #8: Markets with the most population growth and household formation projected for the next 5 years
  • #9: Markets with the most employment growth projected for the next 5 years
  • #11: Markets with a high proportion of younger residents
  • #12: Metros with the highest-rated real estate market conditions in 2021
  • #12: Fastest-growing real estate markets in the U.S.
  • Check out the Methodology section for details on each of these rankings.

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#15: Denver, Aurora & Lakewood, Colorado

Denver, Colorado | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Denver Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.4%
  • Effective rent growth (Q3-’21, YoY): 14.7%
  • Multifamily cap rate (Q3-’21): 4.8%
  • Annual population growth (2020, YoY): 0.9%
  • Projected annual population growth (‘22-’26): 1.1%
  • Projected annual employment growth (‘22-’26): 1.3%
  • Change in position between 2020 and 2022: +17

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Denver Real Estate Market Stacks Up Against Other Metros

  • #4: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #8: Most in-demand real estate markets among investors for 2022
  • #9: Markets with the most development opportunity in 2022
  • #10: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #10: Markets with a high level of investment in community infrastructure
  • #11: Highest-rated local economies in the U.S.
  • #11: Fastest-growing cities in the U.S.
  • #11: Markets with a high proportion of younger residents
  • #12: Markets with the best real estate prospects in 2022
  • #12: Highest-rated job markets in the U.S. in 2021
  • #14: Markets with the most home price growth over the last 3 years
  • #15: Best places to live in the U.S. in 2021
  • Check out the Methodology section for details on each of these rankings.

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#16: Spokane, Washington

Spokane, Washington | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Spokane Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 2.9%
  • Effective rent growth (Q3-’21, YoY): 16.9%
  • Multifamily cap rate (Q3-’21): 5.9%
  • Annual population growth (2020, YoY): 1.2%
  • Projected annual population growth (‘22-’26): 1.1%
  • Projected annual employment growth (‘22-’26): 0.9%
  • Change in position between 2020 and 2022: +29

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Spokane Real Estate Market Stacks Up Against Other Metros

  • #2: Markets with the most home price growth over the last 3 years
  • #8: Markets with the most job growth in 2021
  • #12: Markets with the largest increase in asking and effective rents in 2021
  • #16: Markets with the most population growth and household formation projected for the next 5 years
  • #20: Markets with the most economic growth projected for the next 5 years
  • #21: Real estate markets with the strongest conditions in 2021
  • #25: Markets with high levels of inmigration and low levels of outmigration in 2021
  • Check out the Methodology section for details on each of these rankings.

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#17: Las Vegas, Henderson & Paradise, Nevada

Las Vegas, NV | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Las Vegas Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.8%
  • Effective rent growth (Q3-’21, YoY): 23.0%
  • Multifamily cap rate (Q3-’21): 4.6%
  • Annual population growth (2020, YoY): 1.8%
  • Projected annual population growth (‘22-’26): 1.2%
  • Projected annual employment growth (‘22-’26): 2.7%
  • Change in position between 2020 and 2022: +13

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Las Vegas Real Estate Market Stacks Up Against Other Metros

  • #1: Strong economic growth anticipated over the next 5 years
  • #2: Markets with the most employment growth projected for the next 5 years
  • #3: High proportion of residents who rent their homes
  • #3: Markets with the most job growth in 2021
  • #7: Markets with the largest increase in asking and effective rents in 2021
  • #13: Markets with the most population growth and household formation projected for the next 5 years
  • #17: Markets with the most home and condo price growth in 2021
  • #17: Highest-rated local economies in the U.S.
  • Check out the Methodology section for details on each of these rankings.

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#18: Sacramento, Roseville & Arden-Arcade, California

Sacramento, California | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Sacramento Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.6%
  • Effective rent growth (Q3-’21, YoY): 12.7%
  • Multifamily cap rate (Q3-’21): 4.6%
  • Annual population growth (2020, YoY): 0.5%
  • Projected annual population growth (‘22-’26): 0.9%
  • Projected annual employment growth (‘22-’26): 1.4%
  • Change in position between 2020 and 2022: -5

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Sacramento Real Estate Market Stacks Up Against Other Metros

  • #3: Cities with the most diversified economies in the U.S.
  • #10: Real estate markets with the strongest conditions in 2021
  • #12: Markets with the most condo price growth in 2021
  • #12: Metros with the highest-rated real estate market conditions in 2021
  • #13: Markets with the most economic growth projected for the next 5 years
  • #14: High proportion of residents who rent their homes
  • #15: Fastest-growing cities in the U.S. in 2021
  • #17: Markets with the most employment growth projected for the next 5 years
  • Check out the Methodology section for details on each of these rankings.

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#19: Charleston, South Carolina

Charleston, South Carolina | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Charleston Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 7.7%
  • Effective rent growth (Q3-’21, YoY): 19.6%
  • Multifamily cap rate (Q3-’21): 5.6%
  • Annual population growth (2020, YoY): 1.8%
  • Projected annual population growth (‘22-’26): 1.2%
  • Projected annual employment growth (‘22-’26): 1.4%
  • Change in position between 2020 and 2022: 0

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Charleston Real Estate Market Stacks Up Against Other Metros

  • #1: Metros with the highest-rated real estate market conditions in 2021
  • #7: Fastest-growing cities in the U.S. in 2021
  • #10: Best cities for jobs in the U.S.
  • #13: Markets with the most population growth and household formation projected for the next 5 years
  • #15: Highest-rated local economies in the U.S.
  • #17: Markets with the most employment growth projected for the next 5 years
  • #17: Markets with the most development opportunity in 2022
  • #17: Markets with high levels of inmigration and low levels of outmigration in 2021
  • #18: Most in-demand real estate markets among investors for 2022
  • #18: Markets with the largest increase in effective rents in 2021
  • Check out the Methodology section for details on each of these rankings.

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#20: San Diego & Carlsbad, California

San Diego, CA | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

San Diego Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 2.4%
  • Effective rent growth (Q3-’21, YoY): 13.7%
  • Multifamily cap rate (Q3-’21): 4.0%
  • Annual population growth (2020, YoY): 0.1%
  • Projected annual population growth (‘22-’26): 0.3%
  • Projected annual employment growth (‘22-’26): 1.0%
  • Change in position between 2020 and 2022: +49

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the San Diego Real Estate Market Stacks Up Against Other Metros

  • #3: Markets with the most economic growth projected for the next 5 years
  • #3: High proportion of residents who rent their homes
  • #7: Cities that offer residents the best quality of life
  • #8: Most desirable places to live in the U.S.
  • #11: Markets with a high proportion of younger residents
  • #11: Large increase in home prices in 2021
  • #13: Markets with the best real estate prospects in 2022
  • #16: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #16: Most in-demand real estate markets among investors for 2022
  • Check out the Methodology section for details on each of these rankings.

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#21: North Port, Sarasota & Bradenton, Florida

Sarasota, North Port & Bradenton, Florida | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

North Port Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.0%
  • Effective rent growth (Q3-’21, YoY): 36.9%
  • Multifamily cap rate (Q2-’21): 6.4%
  • Annual population growth (2020, YoY): 2.0%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021

How the North Port Real Estate Market Stacks Up Against Other Metros

  • #2: Markets with high levels of inmigration and low levels of outmigration in 2021
  • #3: Markets with the largest increase in asking rents in 2021
  • #3: Markets with the largest increase in effective rents in 2021
  • #4: Markets with the most condo price growth in 2021
  • #8: Best places to live in the U.S. in 2021
  • #10: Markets where housing permit creation is keeping up with household formation
  • #12: Most desirable places to live in the U.S.
  • #13: Markets with the most home price growth over the last 3 years
  • #14: Small cities with the best quality of life for residents
  • #14: Cities that offer residents the best quality of life
  • Check out the Methodology section for details on each of these rankings.

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#22: Orlando, Kissimmee & Sanford, Florida

Orlando, Florida | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Orlando Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.1%
  • Effective rent growth (Q3-’21, YoY): 22.7%
  • Multifamily cap rate (Q3-’21): 5.8%
  • Annual population growth (2020, YoY): 1.2%
  • Projected annual population growth (‘22-’26): 1.8%
  • Projected annual employment growth (‘22-’26): 3.3%
  • Change in position between 2020 and 2022: -5

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Orlando Real Estate Market Stacks Up Against Other Metros

  • #1: Markets with the most employment growth projected for the next 5 years
  • #2: Best cities for jobs in the U.S. in 2021
  • #3: Markets with the most population growth and household formation projected for the next 5 years
  • #4: Best cities to start a business in 2021
  • #5: Markets with the most population growth over the last 10 years
  • #5: Fastest-growing cities in the U.S. in 2021
  • #6: Metros with the highest-rated real estate market conditions in 2021
  • #9: Markets with the largest increase in asking and effective rents in 2021
  • #9: Markets with high levels of inmigration and low levels of outmigration in 2021
  • Check out the Methodology section for details on each of these rankings.

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#23: Cape Coral & Fort Myers, Florida

Fort Myers & Cape Coral, Florida | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Cape Coral Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 8.0%
  • Effective rent growth (Q3-’21, YoY): 27.8%
  • Multifamily cap rate (Q2-’21): 5.6%
  • Annual population growth (2020, YoY): 2.4%
  • Projected annual population growth (‘22-’26): 1.8%
  • Projected annual employment growth (‘22-’26): 1.7%
  • Change in position between 2020 and 2022: +38

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Cape Coral Real Estate Market Stacks Up Against Other Metros

  • #1: Fastest-growing cities in the U.S. in 2021
  • #2: Metros with the highest-rated real estate market conditions in 2021
  • #2: Markets with high levels of inmigration and low levels of outmigration in 2021
  • #3: Markets with the most population growth and household formation projected for the next 5 years
  • #4: Markets with the largest increase in asking and effective rents in 2021
  • #5: Markets with the most employment growth projected for the next 5 years
  • #7: Markets with the most home and condo price growth in 2021
  • #7: Markets where housing permit creation is keeping up with household formation
  • #10: Markets with the most home price growth over the last 3 years
  • #13: Markets with the most population growth over the last 10 years
  • Check out the Methodology section for details on each of these rankings.

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#24: Miami, Fort Lauderdale & West Palm Beach, Florida

Miami, Florida | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Miami Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.8%
  • Effective rent growth (Q3-’21, YoY): 16.6%
  • Multifamily cap rate (Q3-’21): 5.1%
  • Annual population growth (2020, YoY): 0.1%
  • Projected annual population growth (‘22-’26): 0.9%
  • Projected annual employment growth (‘22-’26): 1.4%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Miami Real Estate Market Stacks Up Against Other Metros

  • #8: Metros with the highest-rated real estate market conditions in 2021
  • #9: Markets with the largest increase in asking and effective rents in 2021
  • #12: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #12: High proportion of residents who rent their homes
  • #14: Markets with the most employment growth projected for the next 5 years
  • #14: Markets with the most condo price growth in 2021
  • #15: Markets with a high level of investment in community infrastructure
  • #16: Highest-rated local economies in the U.S.
  • #17: Best cities to start a business in 2021
  • #17: Markets with the most home price growth over the last 3 years
  • #18: Most in-demand real estate markets among investors for 2022
  • #20: Markets with the most population growth and household formation projected for the next 5 years
  • Check out the Methodology section for details on each of these rankings.

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#25: Charlotte, Concord & Gastonia, North Carolina

Charlotte, NC | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Charlotte Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 6.4%
  • Effective rent growth (Q3-’21, YoY): 18.0%
  • Multifamily cap rate (Q3-’21): 4.5%
  • Annual population growth (2020, YoY): 1.7%
  • Projected annual population growth (‘22-’26): 1.3%
  • Projected annual employment growth (‘22-’26): 1.6%
  • Change in position between 2020 and 2022: -20

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Charlotte Real Estate Market Stacks Up Against Other Metros

  • #4: Most in-demand real estate markets among investors for 2022
  • #5: Markets with the most development opportunity in 2022
  • #6: Markets with the best real estate prospects in 2022
  • #6: Best cities to start a business in 2021
  • #8: Markets with the most population growth and household formation projected for the next 5 years
  • #9: Markets with the most employment growth projected for the next 5 years
  • #9: Highest-rated local economies in the U.S.
  • #15: Best places to live in the U.S. in 2021
  • #15: Markets with a strong supply of affordable and available rentals
  • #17: Real estate markets with the strongest conditions in 2021
  • #19: Markets with high levels of inmigration and low levels of outmigration in 2021
  • Check out the Methodology section for details on each of these rankings.

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#26: Houston, the Woodlands & Sugar Land, Texas

Houston, Texas | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Houston Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 7.1%
  • Effective rent growth (Q3-’21, YoY): 10.4%
  • Multifamily cap rate (Q3-’21): 5.9%
  • Annual population growth (2020, YoY): 1.3%
  • Projected annual population growth (‘22-’26): 1.4%
  • Projected annual employment growth (‘22-’26): 1.6%
  • Change in position between 2020 and 2022: +58

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Houston Real Estate Market Stacks Up Against Other Metros

  • #3: Markets with a high proportion of younger residents
  • #5: Markets with the most population growth and household formation projected for the next 5 years
  • #7: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #8: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #9: Markets with the most employment growth projected for the next 5 years
  • #16: Markets with the most development opportunity in 2022
  • #18: High proportion of residents who rent their homes
  • #18: Markets with a high level of investment in community infrastructure
  • #19: Markets with the most population growth over the last 10 years
  • Check out the Methodology section for details on each of these rankings.

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#27: San Antonio & New Braunfels, Texas

San Antonio, Texas | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

San Antonio Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 6.3%
  • Effective rent growth (Q3-’21, YoY): 13.3%
  • Multifamily cap rate (Q3-’21): 6.6%
  • Annual population growth (2020, YoY): 1.6%
  • Projected annual population growth (‘22-’26): 1.4%
  • Projected annual employment growth (‘22-’26): 1.6%
  • Change in position between 2020 and 2022: -2

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the San Antonio Real Estate Market Stacks Up Against Other Metros

  • #5: Markets with the most population growth and household formation projected for the next 5 years
  • #9: Markets with the most employment growth projected for the next 5 years
  • #11: Markets with a high proportion of younger residents
  • #13: Markets with a relatively affordable cost of doing business
  • #14: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #14: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #19: Highest-rated local economies in the U.S.
  • #20: Markets with the most development opportunity in 2022
  • #20: Markets where housing permit creation is keeping up with household formation
  • #21: Markets with the best real estate prospects in 2022
  • Check out the Methodology section for details on each of these rankings.

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#28: Manchester & Nashua, New Hampshire

Manchester, New Hampshire | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Manchester Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 1.3%
  • Effective rent growth (Q3-’21, YoY): 13.5%
  • Multifamily cap rate (Q3-’21): 9.4%
  • Annual population growth (2020, YoY): 0.2%
  • Change in position between 2020 and 2022: +24

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Manchester Real Estate Market Stacks Up Against Other Metros

  • #5: Markets with the highest cap rates for multifamily properties in 2021
  • #9: Highest-rated job markets in the U.S. in 2021
  • #11: Small cities with the best quality of life for residents
  • #12: Markets with the lowest multifamily vacancy rates in 2021
  • #12: Most well-run cities in the U.S. in 2021
  • #17: Markets with the lowest rate of unemployment in 2021
  • #19: Most condo and home price growth in 2021
  • #22: Cities that offer residents the best quality of life
  • Check out the Methodology section for details on each of these rankings.

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#29: Indianapolis, Carmel & Anderson, Indiana

Indianapolis, Indiana | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Indianapolis Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.2%
  • Effective rent growth (Q3-’21, YoY): 11.1%
  • Multifamily cap rate (Q3-’21): 7.1%
  • Annual population growth (2020, YoY): 0.9%
  • Projected annual population growth (‘22-’26): 1.0%
  • Projected annual employment growth (‘22-’26): 1.1%
  • Change in position between 2020 and 2022: -23

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Indianapolis Real Estate Market Stacks Up Against Other Metros

  • #6: Markets with a strong supply of affordable and available rentals
  • #8: Real estate markets that offer the best value to renters and homebuyers
  • #9: Markets where renting is more affordable than owning a home
  • #11: Markets with a high proportion of younger residents
  • #14: Markets with a relatively affordable cost of doing business
  • #20: Markets with the most population growth and household formation projected for the next 5 years
  • #20: Most in-demand real estate markets among investors for 2022
  • #24: Best cities to start a business in 2021
  • #27: Markets with the most employment growth projected for the next 5 years
  • #28: Markets with the most development opportunity in 2022
  • #28: Markets where housing permit creation is keeping up with household formation
  • Check out the Methodology section for details on each of these rankings.

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#30: Seattle, Tacoma & Bellevue, Washington

Seattle, Washington | 60 Up-and-Coming Real Estate Markets to Watch in 2022 | Buildium

Seattle Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.5%
  • Effective rent growth (Q3-’21, YoY): 12.3%
  • Multifamily cap rate (Q3-’21): 4.6%
  • Annual population growth (2020, YoY): 1.0%
  • Projected annual population growth (‘22-’26): 0.9%
  • Projected annual employment growth (‘22-’26): 1.4%
  • Change in position between 2020 and 2022: +33

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

How the Seattle Real Estate Market Stacks Up Against Other Metros

  • #3: Large cities with the best quality of life for residents
  • #3: Highest-rated job markets in the U.S. in 2021
  • #7: Markets with the most economic growth projected for the next 5 years
  • #7: Markets with the highest growth rates anticipated by property managers in 2022/2023
  • #9: Fastest-growing real estate markets in the U.S.
  • #13: Markets with the highest growth rates anticipated by rental investors in 2022/2023
  • #14: Markets with a high proportion of residents who rent their homes
  • #15: Best places to live in the U.S. in 2021
  • #16: Real estate markets with the strongest conditions in 2021
  • #17: Markets with the most employment growth projected for the next 5 years
  • #20: Markets with the most population growth and household formation projected for the next 5 years
  • Check out the Methodology section for details on each of these rankings.

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Tier II: 30 More Real Estate Markets to Watch in 2022

Select your city to jump straight to that section:

Albuquerque, NM | Baltimore, MD | Birmingham, AL | Chattanooga, TN
Cincinnati, OH | Colorado Springs, CO | Columbus, OH | Deltona, FL
Des Moines, IA | Fresno, CA | Gainesville, FL | Grand Rapids, MI
Greenville, SC | Honolulu, HI | Huntsville, AL | Kansas City, MO
Madison, WI | Naples, FL | Oklahoma City, OK | Omaha, NE | Palm Bay, FL
Philadelphia, PA | Portland, ME | Portland, OR | Port St. Lucie, FL
Providence, RI | Reno, NV | Richmond, VA | Tallahassee, FL | Virginia Beach, VA

Jump back to our Tier I picks

#31: Portland, Vancouver & Hillsboro, Oregon

Portland, OR Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.5%
  • Effective rent growth (Q3-’21, YoY): 10.3%
  • Multifamily cap rate (Q3-’21): 5.3%
  • Annual population growth (2020, YoY): 0.7%
  • Projected annual population growth (‘22-’26): 0.7%
  • Projected annual employment growth (‘22-’26): 1.1%
  • Change in position between 2020 and 2022: -21

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#32: Palm Bay, Melbourne & Titusville, Florida

Palm Bay Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.0%
  • Effective rent growth (Q3-’21, YoY): 18.8%
  • Multifamily cap rate (Q3-’21): 7.2%
  • Annual population growth (2020, YoY): 1.2%
  • Change in position between 2020 and 2022: +48

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#33: Naples, Immokalee & Marco Island, Florida

Naples Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.7%
  • Effective rent growth (Q3-’21, YoY): 43.1%
  • Multifamily cap rate (Q2-’21): 5.6%
  • Annual population growth (2020, YoY): 1.8%
  • Projected annual population growth (‘22-’26): 1.8%
  • Projected annual employment growth (‘22-’26): 1.7%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#34: Richmond, Virginia

Richmond Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.7%
  • Effective rent growth (Q3-’21, YoY): 11.6%
  • Multifamily cap rate (Q2-’21): 5.9%
  • Annual population growth (2020, YoY): 0.7%
  • Projected annual population growth (‘22-’26): 0.6%
  • Projected annual employment growth (‘22-’26): 1.1%
  • Change in position between 2020 and 2022: -16

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#35: Chattanooga, Tennessee

Chattanooga Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.8%
  • Effective rent growth (Q3-’21, YoY): 13.2%
  • Multifamily cap rate (Q3-’21): 6.2%
  • Annual population growth (2020, YoY): 0.8%
  • Projected annual population growth (‘22-’26): 0.6%
  • Projected annual employment growth (‘22-’26): 0.4%
  • Change in position between 2020 and 2022: +48

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#36: Cincinnati, Ohio

Cincinnati Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.7%
  • Effective rent growth (Q3-’21, YoY): 7.3%
  • Multifamily cap rate (Q3-’21): 8.0%
  • Annual population growth (2020, YoY): 0.3%
  • Projected annual population growth (‘22-’26): 0.2%
  • Projected annual employment growth (‘22-’26): 0.6%
  • Change in position between 2020 and 2022: -7

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#37: Columbus, Ohio

Columbus Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.1%
  • Effective rent growth (Q3-’21, YoY): 7.9%
  • Multifamily cap rate (Q3-’21): 6.0%
  • Annual population growth (2020, YoY): 0.6%
  • Projected annual population growth (‘22-’26): 0.7%
  • Projected annual employment growth (‘22-’26): 1.0%
  • Change in position between 2020 and 2022: -14

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#38: Grand Rapids & Wyoming, Michigan

Grand Rapids Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 2.7%
  • Effective rent growth (Q3-’21, YoY): 11.4%
  • Multifamily cap rate (Q2-’21): 6.8%
  • Annual population growth (2020, YoY): 0.4%
  • Change in position between 2020 and 2022: -16

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#39: Portland, Maine

Portland, ME Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.0%
  • Effective rent growth (Q3-’21, YoY): 6.8%
  • Multifamily cap rate (Q3-’21): 8.1%
  • Annual population growth (2020, YoY): 0.6%
  • Projected annual population growth (‘22-’26): 0.3%
  • Projected annual employment growth (‘22-’26): 0.7%
  • Change in position between 2020 and 2022: +54

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#40: Albuquerque, New Mexico

Albuquerque Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.5%
  • Effective rent growth (Q3-’21, YoY): 16.9%
  • Multifamily cap rate (Q3-’21): 5.5%
  • Annual population growth (2020, YoY): 0.5%
  • Projected annual population growth (‘22-’26): 0.7%
  • Projected annual employment growth (‘22-’26): 0.8%
  • Change in position between 2020 and 2022: +58

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#41: Oklahoma City, Oklahoma

Oklahoma City Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 7.3%
  • Effective rent growth (Q3-’21, YoY): 8.8%
  • Multifamily cap rate (Q3-’21): 6.2%
  • Annual population growth (2020, YoY): 1.1%
  • Projected annual population growth (‘22-’26): 0.8%
  • Projected annual employment growth (‘22-’26): 1.0%
  • Change in position between 2020 and 2022: -29

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#42: Colorado Springs, Colorado

Colorado Springs Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.8%
  • Effective rent growth (Q3-’21, YoY): 14.3%
  • Multifamily cap rate (Q3-’21): 5.3%
  • Annual population growth (2020, YoY): 0.9%
  • Change in position between 2020 and 2022: -5

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#43: Omaha & Council Bluffs, Nebraska

Omaha Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.0%
  • Effective rent growth (Q3-’21, YoY): 6.1%
  • Multifamily cap rate (Q3-’21): 6.1%
  • Annual population growth (2020, YoY): 0.6%
  • Projected annual population growth (‘22-’26): 0.7%
  • Projected annual employment growth (‘22-’26): 0.8%
  • Change in position between 2020 and 2022: -11

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#44: Madison, Wisconsin

Madison Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.4%
  • Effective rent growth (Q3-’21, YoY): 3.1%
  • Multifamily cap rate (Q3-’21): 5.9%
  • Annual population growth (2020, YoY): 0.7%
  • Projected annual population growth (‘22-’26): 0.7%
  • Projected annual employment growth (‘22-’26): 1.3%
  • Change in position between 2020 and 2022: -40

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#45: Des Moines, Iowa

Des Moines Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.5%
  • Effective rent growth (Q3-’21, YoY): 4.0%
  • Multifamily cap rate (Q3-’21): 7.8%
  • Annual population growth (2020, YoY): 1.1%
  • Projected annual population growth (‘22-’26): 1.1%
  • Projected annual employment growth (‘22-’26): 1.2%
  • Change in position between 2020 and 2022: -29

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#46: Greenville, Anderson & Mauldin, South Carolina

Greenville, SC Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.1%
  • Effective rent growth (Q3-’21, YoY): 14.5%
  • Multifamily cap rate (Q2-’21): 5.3%
  • Annual population growth (2020, YoY): 1.2%
  • Projected annual population growth (‘22-’26): 0.7%
  • Projected annual employment growth (‘22-’26): 1.0%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#47: Virginia Beach, Norfolk & Newport News, Virginia

Virginia Beach Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 2.8%
  • Effective rent growth (Q3-’21, YoY): 12.1%
  • Multifamily cap rate (Q3-’21): 5.2%
  • Annual population growth (2020, YoY): 0.4%
  • Projected annual population growth (‘22-’26): 0.5%
  • Projected annual employment growth (‘22-’26): 0.7%
  • Change in position between 2020 and 2022: -21

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#48: Reno, Nevada

Reno Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.1%
  • Effective rent growth (Q3-’21, YoY): 12.7%
  • Multifamily cap rate (Q3-’21): 5.9%
  • Annual population growth (2020, YoY): 1.0%
  • Change in position between 2020 and 2022: +37

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#49: Kansas City, Missouri

Kansas City Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.8%
  • Effective rent growth (Q3-’21, YoY): 7.0%
  • Multifamily cap rate (Q3-’21): 6.2%
  • Annual population growth (2020, YoY): 0.5%
  • Projected annual population growth (‘22-’26): 0.6%
  • Projected annual employment growth (‘22-’26): 0.8%
  • Change in position between 2020 and 2022: -22

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#50: Providence & Warwick, Rhode Island

Providence Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 2.5%
  • Effective rent growth (Q3-’21, YoY): 8.4%
  • Multifamily cap rate (Q3-’21): 7.2%
  • Annual population growth (2020, YoY): 0.0%
  • Projected annual population growth (‘22-’26): 0.1%
  • Projected annual employment growth (‘22-’26): 0.5%
  • Change in position between 2020 and 2022: +51

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#51 (tie): Deltona, Daytona Beach & Ormond Beach, Florida

Deltona Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.2%
  • Effective rent growth (Q3-’21, YoY): 17.2%
  • Multifamily cap rate (Q3-’21): 8.2%
  • Annual population growth (2020, YoY): 1.6%
  • Projected annual population growth (‘22-’26): 1.0%
  • Projected annual employment growth (‘22-’26): 0.8%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#51 (tie): Honolulu, Hawaii

Honolulu Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 5.2%
  • Effective rent growth (Q3-’21, YoY): 11.4%
  • Multifamily cap rate (Q3-’21): 6.7%
  • Annual population growth (2020, YoY): -1.0%
  • Projected annual population growth (‘22-’26): 0.1%
  • Projected annual employment growth (‘22-’26): 1.1%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#53: Baltimore, Columbia & Towson, Maryland

Baltimore Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.7%
  • Effective rent growth (Q3-’21, YoY): 12.3%
  • Multifamily cap rate (Q3-’21): 8.5%
  • Annual population growth (2020, YoY): -0.1%
  • Projected annual population growth (‘22-’26): 0.2%
  • Projected annual employment growth (‘22-’26): 0.7%
  • Change in position between 2020 and 2022: +14

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#54: Philadelphia, Pennsylvania

Philadelphia Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.7%
  • Effective rent growth (Q3-’21, YoY): 9.7%
  • Multifamily cap rate (Q3-’21): 7.8%
  • Annual population growth (2020, YoY): 0.1%
  • Projected annual population growth (‘22-’26): 0.2%
  • Projected annual employment growth (‘22-’26): 0.6%
  • Change in position between 2020 and 2022: +41

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#55: Fresno, California

Fresno Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 1.4%
  • Effective rent growth (Q3-’21, YoY): 12.7%
  • Multifamily cap rate (Q3-’21): 5.0%
  • Annual population growth (2020, YoY): 0.3%
  • Change in position between 2020 and 2022: New to list

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#56: Port St. Lucie, Florida

Port St. Lucie Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 3.4%
  • Effective rent growth (Q3-’21, YoY): 25.2%
  • Multifamily cap rate (Q3-’21): 8.0%
  • Annual population growth (2020, YoY): 2.0%
  • Change in position between 2020 and 2022: +4

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#57: Birmingham & Hoover, Alabama

Birmingham Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 6.8%
  • Effective rent growth (Q3-’21, YoY): 10.4%
  • Multifamily cap rate (Q3-’21): 6.0%
  • Annual population growth (2020, YoY): 0.1%
  • Projected annual population growth (‘22-’26): 0.4%
  • Projected annual employment growth (‘22-’26): 0.6%
  • Change in position between 2020 and 2022: +19

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#58 (tie): Gainesville, Florida

Gainesville Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 4.8%
  • Effective rent growth (Q3-’21, YoY): 11.0%
  • Multifamily cap rate (Q3-’21): 4.5%
  • Annual population growth (2020, YoY): 0.8%
  • Projected annual population growth (‘22-’26): 0.1%
  • Projected annual employment growth (‘22-’26): 0.6%
  • Change in position between 2020 and 2022: -2

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#58 (tie): Tallahassee, Florida

Tallahassee Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 6.2%
  • Effective rent growth (Q3-’21, YoY): 11.7%
  • Multifamily cap rate (Q2-’21): 7.1%
  • Annual population growth (2020, YoY): 0.6%
  • Projected annual population growth (‘22-’26): 0.5%
  • Projected annual employment growth (‘22-’26): 0.9%
  • Change in position between 2020 and 2022: +16

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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#60: Huntsville, Alabama

Huntsville Rental Market Statistics

  • Multifamily vacancy rate (Q3-’21): 6.6%
  • Effective rent growth (Q3-’21, YoY): 9.7%
  • Multifamily cap rate (Q2-’21): 6.2%
  • Annual population growth (2020, YoY): 2.1%
  • Change in position between 2020 and 2022: -38

Sources: NAR Market Reports – Q3-2021 & PwC/ULI Emerging Trends Report – 2022

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Methodology: Which Factors & Sources Went Into Our Real Estate Market Rankings?

Industry Indicators

Measures of opportunity for property managers and investors:

Housing Indicators

Measures of housing affordability, availability, and development:

  • Markets with the most home and condo price growth over the last 3 years, as measured by the National Association of Realtors
  • Markets with the largest increase in asking rents over the last year (the rates advertised for vacant units), as measured by the National Association of Realtors
  • Markets with the largest increase in effective rents over the last year (the rates that renters agree to pay at lease signing), as measured by the National Association of Realtors
  • Markets with the lowest multifamily vacancy rates over the last year, as measured by the National Association of Realtors
  • Markets with a strong supply of affordable and available rentals for households making 80% of the area median income, as calculated by PwC & the Urban Land Institute
  • Markets where renting is more affordable than owning a home, driving demand for rentals, as calculated by PwC & the Urban Land Institute
  • Markets with a high proportion of residents who rent their homes, indicating strong demand for rentals, as calculated by PwC & the Urban Land Institute
  • Real estate markets that offer the best value to renters and homebuyers in 2021, as calculated by U.S. News
  • Markets with the most affordable rents based on the ratio of average rent costs to average salaries for two-person households, as calculated by the National Association of Realtors
  • Markets that present the best value for buyers versus markets where properties run the risk of being overpriced, as calculated by Florida Atlantic University
  • Markets where housing permit creation is keeping up with household formation as well as employment growth—indicating where housing availability is balanced with demand—as calculated by PwC & the Urban Land Institute
  • Markets that have seen a significant rise in housing permits in 2021 as measured by the National Association of Realtors, signifying a ramp-up in housing production

Economic and Job Market Indicators

Measures of job creation and opportunity, employment, wage growth, productivity, and cost of doing business:

  • Markets with the most employment growth projected for the next 5 years, as measured by PwC & the Urban Land Institute
  • Highest-rated job markets and best cities for jobs in the U.S. in 2021 based on average salaries, unemployment rates, employment growth, and other factors calculated by WalletHub and U.S. News
  • Most well-run cities in the U.S. in 2021, as calculated by WalletHub based on their budget per capita as well as measures of financial stability and economic health, safety, infrastructure, and the quality of their educational and healthcare systems
  • Markets with a relatively affordable cost of doing business, making it easier for small businesses to get off the ground and find success, as calculated by PwC & the Urban Land Institute
  • Markets with a high level of investment in community infrastructure from both public and private sources—helping their economies grow and attract more workers, residents, and investors—as measured by PwC & the Urban Land Institute
  • Best cities to start a business in 2021 based on the business environment, cost of doing business, and access to resources, as calculated by WalletHub
  • Highest-rated local economies in the U.S. based on industry experts’ ratings of their local markets’ economic health, as measured by PwC & the Urban Land Institute
  • Cities with the most diversified economies in the U.S. as measured by WalletHub, helping to ensure their stability during downturns for particular industries or the local or national economy
  • Markets with the most economic growth projected for the next 5 years—as measured by their gross metropolitan product, which indicates that a city’s economy is growing based on the annual output of its metro area—reported by PwC & the Urban Land Institute
  • Markets with the lowest rate of unemployment in 2021, as measured by the National Association of Realtors
  • Markets with the most job growth in 2021, as measured by the National Association of Realtors
  • Which markets have seen the strongest wage growth for workers throughout 2021, improving their ability to afford housing amidst rising costs, as measured by the National Association of Realtors
  • Where per capita income is expected to increase over the next 5 years, indicating a rising standard of living among a city’s residents, as measured by PwC & the Urban Land Institute

Demographic Indicators

Measures of population growth and household formation:

  • Markets with a high proportion of young residents under age 45, helping to ensure continued growth in the local economy as well as housing demand, as calculated by PwC & the Urban Land Institute
  • Markets with the most population growth and household formation projected for the next 5 years, indicating continued growth in housing demand and the local economy, as measured by PwC & the Urban Land Institute
  • Markets with high levels of inmigration and low levels of outmigration in 2021, as measured by U.S. News and the National Association of Realtors
  • Markets with the most population growth over the last 10 years, as measured by the U.S. Census Bureau between 2010 and 2020, indicating continued growth in housing demand and the local economy
  • Fastest-growing cities in the U.S. in 2021 on demographic and economic measures, as calculated by WalletHub

Quality of Life Indicators

Measures of residents’ satisfaction and ease of living, as well as cities’ level of appeal:

  • The best places to live in the U.S. in 2021, based on analyses of housing affordability, quality of life, desirability, migration, and job market quality performed by U.S. News each year
  • Cities that offer residents the best quality of life, as calculated by U.S. News
  • Small cities and large cities with the best quality of life for residents, as calculated by WalletHub based on their quality of life, affordability, economic health, safety, and the quality of their education and healthcare systems
  • Most desirable places to live in the U.S., contributing to population growth and housing demand, as calculated by U.S. News
  • Metro areas with the best transit systems and shortest commutes, contributing to economic growth and residents’ quality of life, as calculated by AllTransit

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Read more on Industry Intel
Robin Young

As Buildium’s Senior Researcher, Robin leverages her background in social science research and interest in real estate economics to identify trends in the rental market. She combines intensive market research with insights gleaned from surveys of property managers, renters, and rental owners to examine topics like shifting renter demographics, the housing affordability crisis, and the transformation of property management during COVID-19. She's best known as the author of the annual State of the Property Management Industry Report.

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