Austin Home to No. 1 Biggest Drop in Rent Prices in the U.S. This Year

A 2026 Zumper rent report has revealed that Texas is leading the nation in annual rent declines since 2025. In August, Austin’s rent prices fell as much as 19 percent compared to the same month a year prior. Zumper’s monthly report analyzes one- and two-bedroom rent prices across 100 U.S. cities and tracks both one-month and year-over-year changes. Austin, Houston, and Dallas are the top three cities where one-bedroom rent prices have plummeted the most in the country.

In August, a one-bedroom apartment in Austin had a monthly rent of $1,260, down 16.6 percent from the previous year. Two-bedroom units saw a more significant decline of 19.1 percent, with a current rent of $1,610. The report indicates a similar trend in Texas’ major metros, attributed to elevated multifamily supply that has been absorbed over boom years. Renters now have leverage to negotiate lower rents, according to Zumper CEO Shawn Mullahy, who stated, “Texas is showing exactly what happens when supply materially outruns demand. Austin, Houston, and Dallas added enormous amounts of inventory, and renters now have leverage because owners are competing to fill it. That won’t reverse until enough of that supply is absorbed.”

For context, Zumper’s National Rent Index for August 2026 reported the median one-bedroom rent fell 0.1 percent year-over-year to $1,515, while two-bedroom rent increased by 0.5 percent to $1,907.

Houston experienced the second-steepest decline in both one- and two-bedroom rent prices in August, with single-bedroom units down 14.6 percent year-over-year to $1,050, and two-bedroom units decreasing by 5.4 percent to $1,400. Dallas one-bedroom units had a monthly rent of $1,270, down 13 percent from August 2025, with two-bedroom units at $1,810, a 13.4 percent drop.

In the North Texas region, one-bedroom rent prices in Plano decreased 7.1 percent to $1,310, while Irving’s units rented for $1,210, reflecting a 4.7 percent decline. In Fort Worth, one-bedroom units asked for $1,160 (down 3.3 percent), and Arlington units were steady at $1,080. For two-bedroom apartments in DFW, pricing varied: Plano at $1,920 (down 3.5 percent), Irving at $1,620 (down 4.7 percent), Fort Worth at $1,530 (down 5.5 percent), and Arlington at $1,460 (down 2.8 percent).

Additionally, in San Antonio, single-bedroom rents fell 8.6 percent to $960, while two-bedroom prices decreased by 4.5 percent to $1,260.