Atlanta rental market trends that are reshaping the city

Rental prices in Atlanta have kept an upward trend in recent years, particularly in neighborhoods closest to downtown and best connected to transit and jobs. Recent Redfin reports put the city’s average rent above $1,900 a month, with significant variation depending on the neighborhood and property type.

The good news for renters is that, compared with other major U.S. cities, Atlanta remains more affordable. But those sustained increases are shrinking the margin of affordable housing near downtown, pushing many renters to look at options farther out.

Alongside rising prices, new rental housing keeps getting built in Atlanta, especially in areas going through a stretch of economic growth and development. Apartment complexes and single-family rental developments delivered today tend to come with more amenities — gyms, coworking spaces, common areas — than older buildings, as a way to compete for renters.

That new supply helps keep the market from feeling as tight as it did during the lowest-inventory years, though the price of those new units usually sits above the neighborhood average, precisely because of the added amenities they include.

With prices rising near downtown, a meaningful share of renters have started looking at options in Atlanta’s suburbs, where the same rent still buys more space. That added demand is changing the profile of several suburban neighborhoods that, a few years ago, were considered buy-only markets rather than rental markets.

Another notable trend is the added flexibility landlords and property managers are offering in lease terms. Month-to-month or three-month leases, once uncommon, have become more frequent as a way to attract renters who need to move quickly for work or who are not yet ready to commit to a full year.

That flexibility especially benefits professionals relocating to Atlanta for work who do not yet know which area they want to settle in long term, along with anyone weighing whether to buy a home but who needs more time before making that call.

For a renter, these trends mean it is worth widening the search beyond downtown if the budget is tight, and that negotiating lease length is no longer unusual. For an investor, they mean the fast-growing suburbs — not just the usual intown neighborhoods — deserve a serious look when evaluating a rental property.

Martha’s consultation exists to review, with updated data for the specific neighborhood you are interested in, whether it makes more sense to rent, buy to live in, or buy to invest in rentals, based on how prices are moving in that particular area.