Las Vegas Valley rents are dropping at the fastest rate in the nation, according to a new Realtor.com report. Rents in the region declined 13.6 percent from August 2022, tying with Atlanta for the largest decrease among U.S. metros. Austin, Texas, followed closely with a 13.4 percent drop. The median asking rent in Las Vegas sits at $1,443, representing a 4.6 percent year-over-year decrease for August.
Despite this recent decline, rents in the Las Vegas Valley have risen 19.8 percent over the past six years, surpassing the national average growth of 17 percent during the same period. However, the area’s average asking rent remains below the national median of $1,713.
The pandemic fueled both a population surge and a boom in multifamily construction in Las Vegas as remote work and low financing rates attracted new residents, particularly from California. Since peaking in 2022, migration to the valley has slowed, and most pandemic-era multifamily projects have now been completed and are leasing up. New multifamily development has stalled, with most upcoming projects focused on luxury units due to market constraints that make affordable complexes harder to build.
Las Vegas is also grappling with a decline in tourism and international visitors, which has led to job losses and an anticipated economic slowdown into 2025. Uncertainty in the broader economy and fewer new multifamily starts nationwide have further impacted the rental market.
According to Jiayi Xu, an economist at Realtor.com, the valley’s rents soared during the pandemic but are now correcting. The slowdown in both domestic and foreign migration, coupled with a surge in available rental units, has increased options for renters and driven prices down more sharply than in other markets.
The report also highlights that falling rental rates are encouraging renters to move locally or out of state in search of better deals. More than two years of declining rents are prompting many to seek more space, save money, or explore new areas, contributing to increased mobility among renters in cities like Las Vegas.
