Just 26% of residents in Albany are renters, among the lowest shares in the nation.
Albany, NY, situated along the Hudson River in Upstate New York, is home to an affordable housing market that’s seen steady growth lately. With its natural beauty, mix of historic and modern architecture, and rich political and industrial history, there’s a lot to appreciate in the capital city.
It’s no wonder that Albany’s population recently rose to over 100,000 people. People are looking to move to a former industrial hub that’s seeing a major revitalization.
But what’s happening with the rental market? And why do so many people own a home in Albany? Read on to learn everything you need to know.
74% of Albany residents are homeowners; 26% are renters
74.4% of Albany residents own their home – among the highest share in the country. Albany has actually seen a general decline in rentership since 2019, helping push it to the second-highest homeownership spot in the nation. Only 25.6% of Albany’s population rents. Rent prices aren’t exactly cheap, either, especially when compared to other Upstate metros.
A major reason for the high homeownership rate is likely the housing market. House prices have been consistently rising across the country, but have remained very affordable in Albany. The median sale price for a home in Albany is $279,000, far below the national median of $442,000. Neighbor cities Rochester and Syracuse are seeing comparable patterns.
However, in part because of its affordability, Albany’s housing market is booming and houses are selling at a blistering pace. Near the end of 2023, houses in Upstate New York sold in roughly a week. There isn’t enough inventory to meet demand, either, pushing prices up to near-record highs.
Similar trends are happening in metros throughout the Great Lakes region, many of which are seeing a renaissance as homebuyers search for houses they can afford. Some people are also moving to these areas to escape the worst effects of climate change, dubbing them “climate havens.” Revitalized downtowns, welcoming communities, and large open spaces are some of the many benefits to these cities.
What’s happening with nationwide rentership rates?
Nationwide, the rentership rate rose 1.9% year over year to 34.4% in the second quarter of 2024, meaning over one-third of Americans are renters. In contrast, homeownership saw a modest 0.6% increase, but remains much more common at 65.6%.
This is the third-straight quarter that rentership outpaced homeownership. The last time this happened was in 2022, when mortgage rates rose to the highest level since 2008. Rentership consistently outpaced homeownership from 2006-2017, as well.
Rentership rates vary widely throughout the country and are generally correlated to house prices – the more expensive houses are, the more people will be pushed into renting. If house prices are lower, people generally have more freedom to choose if they want to rent or buy.
As such, one reason for the increase in rentership is because homeownership is historically unaffordable and showing little sign of improving. Another reason is because rental supply has more or less kept up with increasing demand. However, in places where housing is particularly affordable, homeownership tends to be the more popular option.
Which U.S. metros have the lowest share of renters?
In particularly affordable metros, like Worcester, MA (23%) and North Port, FL (23%), rentership rates are the lowest. A lack of rental inventory and zoning restrictions could also play a role.
Metros with the lowest share of renters
| Metro | Rentership rate | Homeownership rate |
| Worcester, MA | 23.2% | 76.8% |
| North Port, FL | 23.3% | 76.7% |
| Albany, NY | 25.6% | 74.4% |
| Rochester, NY | 25.7% | 74.3% |
| Syracuse, NY | 26.2% | 73.8% |
| Cape Coral, FL | 26.3% | 73.7% |
| Cincinnati, OH | 26.8% | 73.2% |
| Hartford, CT | 27.2% | 72.8% |
| Richmond, VA | 27.7% | 72.3% |
| Albuquerque, NM | 27.7% | 72.3% |
Which U.S. metros have the highest share of renters?
Rentership rates are the highest in expensive coastal metros like Los Angeles (53%) and San Diego (52%), where house prices regularly surpass $1 million. Prices are also tied to available rental supply.
Metros with the highest share of renters
| Metro | Rentership rate | Homeownership rate |
| Los Angeles, CA | 53.0% | 47.0% |
| San Diego, CA | 52.4% | 47.6% |
| New York, NY | 50.1% | 49.9% |
| Fresno, CA | 49.0% | 51.0% |
| Austin, TX | 46.3% | 53.7% |
| San Jose, CA | 44.8% | 55.2% |
| Honolulu, HI | 42.5% | 57.5% |
| San Francisco, CA | 41.8% | 58.2% |
| Las Vegas, CA | 41.6% | 58.4% |
| San Antonio, TX | 40.9% | 59.1% |
Methodology
Based on a Redfin analysis of U.S. Census Bureau data for the 75 largest U.S. metros. A renter household is defined as one where the head of the household reports to the Census that they are renting out the property. A homeowner household is one where the head of household reports they own the property.
