St. Paul is one of the country's hottest rental markets

Although still cheaper than the national average, supply issues are pushing rental prices up.
Author:
Updated:
Original:

Renting in St. Paul is suddenly more expensive, with the city named as one of the top 20 in the country that has seen the highest jumps in average rents the past year.

Yardi Matrix's analysis of rental prices in February, as reported by RentCafe, puts St. Paul as having the 13th highest hike over the past 12 months in the U.S., with rent in the city 5.4 percent more expensive than last year.

The average rent was $1,155 last month, the study found, which means it's still a bargain compared to the national average of $1,306.

RentCafe says that St. Paul is one of several of America's smaller population cities that's seeing an unexpected surge in rent prices.

Yardi Matrix senior analyst Doug Ressler says this is down to a combination of economic and supply factors, with fast-rising house prices pushing more people into the rental market.

This, combined with a lack of rental property supply, is driving up rental prices. The Star Tribune reported that St. Paul had a 1.7 rental vacancy rate at the end of 2016, compared to a 2.7 percent average across the wider metro area.

Average rents will vary depending on what source you're looking at and when, but the Star Tribune's analysis pegs the average in St. Paul at $1,071 in Dec. 2016, which isn't a million miles off from $1,155.

RentJungle meanwhile says the average monthly cost of renting is even higher than Yardi Matrix's figures, putting it at $1,259 in February.

It estimates that the most recent peak for rental prices in the city was last June, when the average monthly rent hit $1,331.

RentCafe breaks down the most expensive neighborhoods in which to rent in St. Paul, highlighting Hamline-Midway, Union Park and downtown St. Paul as the priciest, with Macalester-Groveland, North End St. Paul and Payne-Phalen the cheapest.

Next Up

Minneapolis police

Mayor Frey, Minneapolis police chief reveal new 'no-knock' policy

The new policy for Minneapolis Police Department was announced Wednesday.

Teddy Bridgewater

Coller: It's a what-if Sunday with Teddy Bridgewater's return

Matthew Coller writes a weekly Vikings column for BMTN, with more of his work found at Purple Insider.

Ambulance hospital emergency

15-month-old girl's death being investigated by police in Fargo

The child died four days after being found unresponsive.

PD Shimmers closeup

Man with Parkinson's lights up Plymouth with synchronized light show

"The best medicine I have for my disease is what I try to do with the light show," Mike Justak said.

Screen Shot 2020-11-25 at 7.34.43 AM

Watch: Drunk squirrel in Minnesota captures the world's attention

The squirrel was immediately cut off after nearly tipping over.

Screen Shot 2020-11-25 at 7.15.09 PM

Small town gym refusing to close facing lawsuit from attorney general

The gym is facing a lawsuit and a temporary restraining order to halt their operations.

credit card, payment

Money Gal Coaching: Bouncing back after living your best life

Kelly Blodgett started Money Gal Coaching after paying down nearly $50K in debt in 18 months.

flickr-mall-of-america-mitchell-hirsch-march-2019

When do stores open on Black Friday this year?

Many major retailers will be open Black Friday, some for extended hours.

Related

Metro rental market booming

Even though hundreds of new apartments have opened in the Twin Cities, places to rent are still getting more expensive and harder to find. Throughout the region, the average vacancy rate was 2.7 percent, and continues to tick downward. Rents are increasing.

Wait ... what? Report says Minneapolis is 3rd most expensive city in North America

The Economist says that Minneapolis is a more expensive place to live than every other U.S. and Canadian city except New York and Los Angeles.

Minneapolis passes short-term rental law – but Airbnb is considering legal action

The home-share site is unhappy with the city's data-sharing policy.

The Tip Jar: How to stop yourself spending $27K on your wedding

Seeing the average cost of a wedding is arguably more of a disincentive to get married than a crippling fear of commitment.

Rental scooters are back in St. Paul – this time legally

Lime is the first company to re-introduce scooters to St. Paul streets.