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U.S. renters are staying put in 2025 as leasing renewals hit an all-time high to start the year, according to a report by RentCafe.
More than 63% of renters decided not to move, the data showed, further tightening supply as 93.3% of apartments remain occupied with limited turnover. Also in 2025, the median vacancy period jumped to 43 days as the average number of potential renters vying for vacant units increased to seven.
“We’ve found a strong link between initial lease lengths and renewal terms — renters who start with longer leases are more likely to renew for extended periods,” RentCafe said in the report. “Markets where renters tend to stay longer also see higher lease renewal rates. This trend is most evident in high-demand, low-supply regions like the Northeast, where renters stay for just over three years on average.”
Meanwhile, the Midwest emerged as the most competitive region for apartment hunting with 10 metros in the top 20. The region also claims six spots in the small rental markets ranking.
Other regional takeaways from the study…
- Manhattan sees the second-biggest surge in rental competitiveness: Demand remains very high as 66% of renters renewed, leaving fewer than 5% of apartments available. Apartments in Manhattan now fill three days faster than a year ago, while competition has increased to seven applicants per vacant unit compared to five one year ago.
- Brooklyn and Queens offer slight relief in NYC: While Manhattan remains highly competitive, rental competitiveness in Brooklyn and Queens has softened due to a wave of new apartments opened: 0.71% and 0.99% of their apartments are brand-new.
- Washington, D.C. grew more competitive: Despite no change in vacancy periods (42 days) or the number of renters per unit (7), competition remains tight due to a higher lease renewal rate (59%, up from 57.8%) and a sharp drop in the share of new apartments (0.39%, down from 0.71%), thus limiting options for prospective renters.
- In California, Eastern Los Angeles is the second-most competitive statewide: While vacancy periods edged up to 44 days and occupancy dipped slightly to 96%, lease renewals surged to 51.4% (up from 47.6%), keeping available units scarce. Despite a modest increase in the share of new apartments (0.63%, up from 0.48%), competition remains high with 13 renters per unit.
The renters insurance market is predicted to reach $100.99 billion in 2025 and $128.73 billion by 2029 at a compound annual growth rate (CAGR) of 6.3%.
Market growth can be attributed to digital insurance platforms, awareness and education initiatives, integration with smart home technology, economic recovery and stability, and collaborations with real estate and property management firms, according to The Business Research Company.
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