Continuing strong demand drove the average U.S. rent to a new high of $1,476 in October 2019, according to Yardi Matrix.

Seventeen of the 30 major markets tracked by Yardi Matrix experienced year-over-year rent growth of at least 3.3% in October while only two trailed the 2.5% long-term average. The average national multifamily rent has grown by 32% since January 2012.

Phoenix, Las Vegas, Raleigh, N.C., California’s Inland Empire and Sacramento, Calif., were last month’s year-over-year rent growth leaders.

The steady growth trend prompted Oregon, New York and California to enact rent control measures over the past year; several other states are considering them.

The report says “these laws are likely to prove counterproductive over time” by increasing cost burdens on markets’ new renters, limiting development of new stock and imposing disincentives for capital improvements. “The U.S. needs more units built, but rent control moves the needle in the opposite direction.”

Get insight about demand, supply, rent control legislation and other factors from the Yardi Matrix multifamily national report for October 2019 (PDF download).

Yardi Matrix offers the industry’s most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate.