Record Number of Build-to-Rent Homes Under Construction, With These Metros Taking the Lead

For the growing number of Americans who aren't ready or can't afford to buy a home but who want the comfort and privacy offered by living in a single-family house, build-to-rent offers an attractive option. And high home prices and rising interest rates have only served to heighten the appeal.

To meet that demand, 2022 saw an all-time high of 14,541 new single-family rentals (SFR) completed in one year, up 47% from 2021, RentCafe.com reports—a significant bump from the approximately 6,000 SFR homes built annually during each of the four years immediately preceding the pandemic. 

The RentCafe.com data above focuses on completed new SFR units, while analysis by the National Association of Home Builders of U.S. Census data shows an estimated 67,000 single-family build-to-rent homes were started in 2022. That would mean roughly 21.7% of SFR starts were actually completed last year. RentCafe.com's numbers show roughly 44,700 build-for-rent homes currently under construction across the U.S. 

RentCafe.com also looked at the top metros for build-to-rent construction:

The magnitude of the build-to-rent wave is expected to amplify as roughly 44,700 homes are now under construction across the country. At the core of it all is Phoenix with nearly 5,500 single-family homes for rent underway. Dallas and Houston are next with 4,400 and 2,600 units, respectively. Atlanta ranks fourth, with close to 2,200 houses for rent underway, reinforcing its status as a top metro for single-family homes for rent.

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