The renter suburb: Renters outnumber owners in 203 suburbs in largest US metros

Key insights:

• Between 2018 and 2023, the number of renter households increased faster in the suburbs than the main city in five of the 20 largest U.S. metros. Dallas was chief among them, with one more metro, Miami, seeing its share of renter households expand at quite similar rates in both the city and its suburbs.
• During the same period, 15 suburbs switched from owner-majority to renter-majority.
• As of 2023, 203 suburbs are dominated by renters, as renter households here outnumber owner households.
• In 15 suburbs, the number of renter households more than doubled in the five years between 2018 and 2023. In particular, Fulshear, Texas, and Woodbridge, Virginia, saw those numbers simply explode.
• In terms of net numbers, it's Frisco, Texas, that leads the way, with more than 10,000 renter households added since 2018. McKinney, Texas, Woodbridge, Virginia, and Grand Prairie, Texas, follow suit with more than 5,000 new renter households.

The change, however, is by no means linear. Some years, when buying a home seems like mission impossible, renters will keep renting no matter their age and needs. Other times, if market conditions are just right, some will take the leap and become homeowners, tipping the scales again. The decision to rent in the city or the suburbs, however, has more going behind it: The suburb wins when the need for more space and privacy wins. What's more, given the healthy rental inventory and massive new completions, especially in areas like the South and the Midwest, renters realize the suburb comes with more and better options.

Case in point, the number of renter-dominated suburbs has fallen compared to 2018, when a total of 233 suburbs were renter-majority. But, it remains high given that, traditionally, the suburbs were oases of homeownership away from the renter-majority urban spaces. As of 2023, approximately 6.08 million households rent a suburban home in these areas, an increase of around 231,000 since 2018.

In just 5 years, 15 suburbs flip as renter households surge

It used to be that the city was all about “work hard, play hard, rent while you’re at it,” and the suburb was relegated to the stage of settling down and leaving the renter days behind. Nowadays, suburban living is no longer reserved for those with a mortgage.

In an attempt to implement a more strategic direction when it comes to housing construction, developers are shifting their attention away from downtowns, urban cores and main cities. Instead, they are focusing on expanding outward, toward the towns and suburbs surrounding cities proper, to be able to provide renters with more space and better amenities.

As proof that renting in the suburbs is here to stay, in the last five years alone, 15 suburbs near the country’s major urban hubs have transitioned to become renter-dominated.

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The East Coast dominates when it comes to this trend: Suburbs from New York City, Miami, Boston, Philadelphia, and Baltimore flipped, showing that high-density coastal cities are starting to move past city borders in their attempt to offer bigger and better rental housing opportunities. Two suburbs from the fast-growing Chicago metro also made the list, and it’s no wonder given the city’s population growth rate.

These new additions bring the total number of renter-dominated suburbs to 203. Fort Meade, Maryland Camp Pendleton South, California and Fort Lewis, Washington, steal the top three spots, but their nearly 100% renter share is due to the fact that these are military bases rather than conditions pertaining to the rental housing market.

Boasting one of the highest population densities of any incorporated city in the U.S., it’s Cudahy, California, that takes the first position with a renter share of 88%. Only five other suburbs University in Hillsborough County, Florida, Clarkston, Georgia, Addison, Texas, Harrison, New Jersey, and Webster, Texas, have renter shares higher than 80%.

The new rental frontier: Suburbs outpace cities in 5 US metros

Suburban renting gaining the upper hand is particularly evident in the case of three of the 20 largest metros, where renter households are growing at a faster pace in the suburbs compared to the city. Specifically, the number of renter households in the city of Dallas went up by nearly 8%, but the suburbs surrounding the city saw an 18% renter household growth. The main driving force behind these numbers is the metro’s exponential population growth, as Dallas continues to be one of the largest and also fastest growing U.S. metros.

In two other metros, renter growth in the suburbs outpaced city increases, though by a smaller percentage: Suburban areas near Minneapolis and Boston saw renter household increases that exceeded those in their urban centers, by 3% and 2%, respectively.

Next, although Tampa, Florida, and Baltimore recorded smaller differences, the number of renter households grew almost neck and neck in both the cities proper and the surrounding suburbs: Renters in the suburbs increased by only 0.5% more than renter households in the city.

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Looking at net numbers, some suburbs are adding renters at an impressive pace. A total of 104 suburbs saw growth of more than 1,000 renter households between 2018 and 2023, but Frisco, Texas, stands head and shoulders above the rest, with an impressive 10,213 new renter households added during that five-year span.

Today, like many of Dallas’ northern suburbs, Frisco functions largely as a so-called bedroom community for professionals commuting to jobs across the Dallas-Fort Worth metro area. But its rapid expansion began much earlier. In the late 1990s, suburban development from northern Plano extended into Frisco, setting off a population boom that continued into the next decade, a boom that solidified Frisco’s reputation as one of the fastest-growing suburbs in the country.

Two other Texas suburbs added north of 5,000 renter households: McKinney and Grand Prairie are also part of the Dallas-Fort Worth metroplex, and two of the most populous and fastest-growing suburbs in the area. With 5,444 new renter households added between 2018 and 2023, Woodbridge, Virginia, is the only suburb outside of Texas to make the top five suburbs with the most renter households added.

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The rise of the renter suburb is not a blip. It’s a fundamental shift in how Americans live and think about housing. Although it mainly took off because of the late 2000s housing crisis and gained more ground during the pandemic, this trend is maintained by factors like remote work and market conditions that don’t quite favor homeownership.

For many, and especially for millennials and Gen Zers, meaning younger professionals who have lower incomes, it’s a matter of cost. As home prices in urban centers soar — and mortgage rates, taxes, and maintenance expenses rise alongside them — renting in the suburbs offers a more affordable path to space and stability. Others are drawn by flexibility: The ability to move for work, family, or lifestyle without being tied down by a long-term mortgage is no small perk.

Remote work is another powerful driver. With 68% of U.S. employers offering location flexibility as of late 2024, renters now have more freedom than ever to live farther from traditional job centers without sacrificing access to opportunity.

Even though renting remains the less popular alternative in the suburbia, the percentage of the suburban population that rents rather than owns their home has ballooned in the last few years. Prompted mostly by growing homeownership unaffordability and higher cost of living, renters’ move toward the suburbs and exurbs is also due to factors like a growing need for more space, more privacy and a less stressful lifestyle.

Looking ahead, ongoing affordability challenges, high mortgage rates, and continued remote work flexibility are likely to preserve, if not further accelerate, this suburban rental momentum. As millennials continue to age into family life and Gen Z enters the housing market, demand for space, affordability, and lifestyle balance will continue to reshape suburban communities. The modern suburb is no longer just a haven for homeowners — it’s becoming a dynamic, mixed-renter landscape that reflects the realities and preferences of today’s mobile, budget-conscious population.

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Methodology

Point2Homes.com is a real estate listing portal for rental homes across the United States. Part of Yardi Systems, Point2Homes covers housing trends and news through comprehensive studies that draw from internal data, public records, governmental sources, and online research.

• For this study, Point2Homes.com took into consideration the 20 largest U.S. metros by population, as well as suburbs with at least 10,000 residents.
• Data source: U.S. Census Bureau, ACS five-year estimates for 2018 and 2023.
• Numbers reflect changes in the number of households.
• For the purpose of this report, urban areas are considered to be the cities that define the name of the metro. All others are considered suburban areas.
• Suburban mapping was completed using U.S. Census Bureau geographical definitions to identify suburbs in metropolitan areas across the nation, excluding the core cities.

This story was produced by Point2Homes and reviewed and distributed by Stacker.