PHILADELPHIA, PA — Philadelphia-area asking rents fell 0.3% from a year earlier to a median of $1,772 in August, while more than one-third of rental listings offered concessions as renters gained negotiating leverage heading into fall, according to Realtor.com.
The Philadelphia-Camden-Wilmington metro had a 36.7% concession rate for studio, one-bedroom and two-bedroom rentals. Concessions can include waived or reduced fees, rent credits, and periods of free rent without lowering a property’s advertised monthly rate.
Philadelphia’s modest decline came as rents continued to weaken nationally. Across the 50 largest U.S. metropolitan areas, median asking rent fell 0.9% from a year earlier to $1,699, marking the 37th consecutive month of annual declines.
Despite the extended pullback, national rents remain substantially above pre-pandemic levels. The median was $65, or 3.7%, below its summer 2022 peak but $227, or 15.4%, above August 2019.
“Renters are entering the fall with more choices and more negotiating power than they had at the height of the rental market,” Realtor.com senior economist Jiayi Xu stated. She pointed to declining rents, additional supply, and greater use of concessions as factors giving renters more opportunities to negotiate.
All three unit sizes tracked nationally recorded annual rent declines in August. Studio rents fell 1.2% to $1,436, one-bedroom rents declined 0.8% to $1,586, and two-bedroom rents dropped 0.9% to $1,896.
Realtor.com expects additional rental supply to keep pressure on rents. Its 2026 housing forecast projects a 1.2% decline in rents for the year, though the outlook depends on rental supply continuing to outpace demand.
Landlords are increasingly using incentives to compete for tenants. Nationally, 43.5% of rental listings offered a concession in August, up from 40.4% a year earlier, with concession rates rising in 39 of the 50 largest metros.
An Avail survey of independent landlords found vacancy and weak renter demand were the strongest triggers for incentives. Among landlords facing those conditions, 33.3% offered concessions, 25.9% considered them, and 24.1% reduced base rents instead.
Reduced or waived fees were the most common incentive among landlords who offered or considered concessions, at 37.9%, followed by upgraded amenities at 30.7% and free rent at 25%. Nearly two-thirds, however, would not waive a security deposit.
The report covers studio, one-bedroom, and two-bedroom properties advertised on Realtor.com in the 50 largest metropolitan areas, including apartments, condominiums, townhouses, and single-family rentals.
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