For renters who opt for single-family homes over apartments, the cost can be steep, with Arlington, Virginia, and D.C. among the top markets for luxury rentals.

Arlington ranks 10th nationwide for luxury rentals, with 29.67% of single-family homes costing $5,000+ monthly, says Point2. Additionally, 3.3% of these renters in Arlington are paying $10,000 or more monthly, classified as Tier 2 luxury rentals.

Washington, D.C., follows with 29.09% of single-family homes renting for $5,000+ monthly, and 2.55% for $10,000+ monthly.

The market for newly-built rental homes has expanded significantly since the pandemic. RentCafe reports that developers completed 27,500 new rental homes in 2023, marking a 75% increase from the previous year. Currently, almost 45,000 single-family rental homes are under construction across the country.

In 2022, Census data shows single-family renter households exceeded 14 million, making up 32.5% of all renters.

Research shows renters earning $150,000+ have doubled since 2017, experiencing the fastest growth.

California dominates the market for luxury single-family home rentals, with five of the top six metro areas in this category. Irvine leads with nearly 74%, followed by Los Angeles at almost 60%. Los Angeles also tops the list for rentals of single-family homes priced at $10,000 or more per month, with nearly 29% in this bracket.

Boston ranks third for Tier 1 luxury single-family home rentals, with 43% of its rental market in this category.

For more details and a comprehensive analysis of luxury single-family home rentals by market, refer to Point2’s full report online.

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