Study Finds Where U.S. Renters Have the Most Bargaining Power
A lease renewal notice typically arrives as a formal document, featuring a new number and a deadline for signing. Most tenants either accept the rent increase, negotiate for minor improvements like a fresh coat of paint, or begin the process of moving out. Choosing to leave entails additional costs for movers, deposits, and lost time. The dynamics at the signing table can significantly influence whether a household maintains a financial buffer or sees it diminish.
Since 2023, the balance of power has shifted in favor of tenants across much of the U.S. In June 2023, none of the 44 major rental markets received an A for tenant leverage, while only four achieved a B. Fast forward three years, and three markets earned an A, with 16 receiving a B.
The period from 2023 to mid-2026 aligns with the most significant surge in new apartment construction seen in decades. During this time, rental prices have softened, and incentives have increased. In the average city, the annual growth rate for one-bedroom rents shifted from +3.7% to -1.8%. The proportion of large apartment complexes offering at least one month of free rent rose from 10% in June 2023 to 21% in June 2026. However, this relief has not been uniform. Out of the 44 markets, 29 improved their positions, while three experienced a decline. The potential benefits for a household now largely depend on its location.
Where Do Renters Hold the Most Leverage?
No. 1: Austin, Texas
Austin renters possess greater bargaining power compared to tenants in any of the other 43 evaluated markets, as evidenced by the median asking rent for one-bedroom apartments, which has decreased by 12.5% over the past year to $1,330. This reduction translates to a $190 decrease in the monthly rent compared to the $1,520 median from the previous year. Over the course of a 12-month lease, this results in total savings of $2,280. The decrease in rental prices has contributed to the city’s improvement from a B rating in June 2023 to an A rating in June 2026.
Landlords have enhanced their offerings by combining lower rental prices with additional incentives. Approximately 42% of large apartment complexes are promoting at least one month of free rent, which effectively reduces the overall cost of a lease below its advertised price. Furthermore, discounts are noted on an additional 8% of active listings, indicating that some property owners continue to lower prices even after a unit has been listed.
In Austin, apartments remain vacant for longer periods than in any other city included in the analysis. Among new listings, 53% are still available 30 days after being posted, marking the highest percentage in the study. Each month that a unit remains unoccupied results in a loss of income for the owner, and potential renters observing the aging of a listing have valid reasons to negotiate for a more favorable deal.
Additionally, the number of permits issued in Austin has decreased since 2022. In the year leading up to June 2022, the city authorized 19.4 homes for every 1,000 residents, which dropped to 12 in the year leading up to June 2025, and further declined to 8.9 in the year leading up to June 2026. Over these four years, annual approvals have diminished by 54%. Currently, the available bargains are based on units that have already been constructed, and with the decline in approvals, there are fewer new apartments scheduled to replace the existing surplus.
No. 2: Denver
In June 2026, landlords in Denver reduced the asking price on 16% of active listings, a percentage surpassed only by San Jose among the 44 cities included in the index. These price reductions coincided with a 7.6% annual decrease in the median rent for one-bedroom apartments, which is currently $1,570. Denver’s one-bedroom rental remains more expensive than those in Nashville, priced at $1,500, and Austin, at $1,330. Over the past three years, the city improved its rating from a C to an A, marking a significant two-grade advancement. Austin and Nashville, the other two cities rated A, each began at a B and progressed by one grade.
In terms of promotional offers, free months are more prevalent in Denver than in any other city monitored by the study. At 48% of large apartment complexes, Denver’s month-free promotions exceeded those of the other 43 cities and were more than double the overall study rate. In contrast, Nashville landlords provided a free month at 33% of large properties, while Dallas landlords did so at 25%. A tenant exploring large buildings in Denver could anticipate that nearly half of them would offer a free month before any negotiations commenced.
Additionally, newly listed units in Denver tended to remain available for longer periods, with 47% still unoccupied 30 days after their listing, a figure that Nashville and Dallas also matched. A unit that remains vacant for a month allows potential tenants the opportunity to compare different buildings and wait for a more favorable deal. Consequently, Denver’s landlords encountered this level of tenant patience with nearly half of their newly available inventory.
Denver achieved its A rating due to a more constrained physical market compared to its leading counterparts. The rental vacancy rate in the metro area was recorded at 7.3%, significantly lower than Austin’s 16.9% and Nashville’s 9.6%. Dallas, with a vacancy rate of 11.7%, was rated a step lower at B. The issuance of permits was at a rate of 10.2 homes per 1,000 residents, which is approximately half of Austin’s 20.9 and below Nashville’s 16.7. A lower number of permits per resident indicates that there is less incoming supply competing for tenants in Denver compared to Austin or Nashville. Among the three A-rated markets, Denver is the most dependent on landlord concessions and the least reliant on vacant apartments to influence lease terms in favor of tenants.
No. 3: Nashville, Tennessee
Nashville’s median asking rent for one-bedroom apartments decreased by 7.4% over the past year, bringing it down to $1,500. This reduction contributed to the city’s improvement from a B rating in June 2023 to an A rating in June 2026. Among the 44 markets evaluated, only Austin and Denver ranked higher, with all three cities now achieving the top grade.
At the beginning of this period, Nashville had a competitive advantage over many other regions in the country. In June 2023, it shared a B rating with Austin, Dallas, and Portland, OR. The city’s advancement by a full letter indicates that tenant advantages have increased in an area where renters already had more leverage compared to most cities. The presence of vacant units provides Nashville renters with significant leverage. The vacancy rate is currently at 9.6%, meaning approximately one in ten rental properties is unoccupied. Almost half of the new listings, specifically 47%, remain unclaimed after 30 days on the market. Landlords in Nashville cannot rely on quickly filling a unit within a few weeks. Additionally, asking prices have decreased for 11% of active listings, further indicating that property owners are vying for tenants.
In Nashville’s metropolitan area, 16.7 housing units have been authorized per 1,000 residents, ranking it third among the 44 cities, following Raleigh, NC, and Austin. This level of permitting suggests that more apartments are forthcoming. Further, the decline in prices and the number of vacant apartments imply that new construction has surpassed the existing demand.
Landlords in Nashville rely less on move-in incentives compared to their peers in the other two A-grade cities, with only 33% of large apartment complexes providing at least one month of free rent. The city’s situation is primarily attributed to lower rental prices and a slower rate of unit occupancy, rather than the use of concessions. Therefore, a prospective renter in Nashville is likely to benefit more from negotiating the monthly rent than from waiting for a month of free rent.
No. 4: Dallas
In June 2026, Dallas maintained its B grade, the same rating it held three years prior, and an 11.7% rental vacancy rate illustrates the significant influence tenants possess in the area. No other market with a B grade or higher in June 2026 retained its June 2023 rating. Dallas shared this early B designation with Austin, Nashville, and Portland. Since then, Austin and Nashville have advanced to an A grade, while Portland has declined to a C. Dallas has remained stable as many other cities have progressed toward it.
The Dallas metropolitan area has a higher proportion of vacant units than all markets in this selection, except for Austin, San Antonio, and Tucson, AZ. Houston, a Texas market not included in this selection, reports a higher vacancy rate of 12.9% and a more significant one-year rent decline of 14.1%. Dallas ranked six places ahead of Houston, finishing fourth compared to Houston’s tenth, indicating that vacant units and decreasing asking prices require additional support from other factors to enhance a city’s ranking.
Landlords in Dallas are requesting $1,350 for a median one-bedroom apartment, which is 6.9% lower than in June 2025, reflecting a decrease of nearly $100 per month. The median rent in Dallas is $20 higher than that of Austin, placing the basic apartment prices in both Texas cities at nearly equal levels. In contrast, Houston’s median rent is $250 lower than that of Dallas. Offers of a free month reveal the disparity between Dallas and the A-grade cities. Landlords are promoting at least one month free in 25% of large communities, the lowest percentage among the 11 markets in this selection that have achieved a B grade or higher. Price reductions are evident in 10% of Dallas listings, and 47% of new units remain vacant for 30 days after being listed. Property owners in Dallas are reducing asking prices and managing slower lease-ups, yet they are cautious about offering free months.
Overall, the Dallas metropolitan area has authorized 15.6 homes per 1,000 residents, ranking third in pace among the 16 markets analyzed, following Austin and Nashville. Tenants in Dallas seeking better deals are likely to benefit more from negotiating prices with landlords rather than waiting for a free month.
No. 5: Charlotte, North Carolina
Charlotte apartments remain on the market longer than in any other graded city, with the exception of Austin, where 51% of new units are still available 30 days after their listing. In Austin, this figure is slightly higher at 53%. Less than half of the new units are removed from listings within a month, and this slow turnover has contributed to Charlotte’s improvement from a C rating in June 2023 to a B rating in June 2026, placing it sixth among the 44 markets.
Property owners in Charlotte tend to emphasize incentives rather than simply lowering prices. The median asking price for a one-bedroom apartment has decreased by 1.4% to $1,460, a modest decline compared to the significant double-digit drops seen in Austin and San Antonio. This 1.4% reduction translates to approximately $21 less in the monthly median. The concessions are more substantial; around 34% of larger apartment communities offer at least one month free, and 14% of listings feature a price reduction. Among the 16 cities discussed in this article, only Denver and San Jose exhibit a higher percentage of discounted listings.
Charlotte continues to experience robust construction activity. The metro area has permitted 15.1 homes per 1,000 residents, nearly three times the rate in New York or San Jose, CA, and comparable to the rates in Dallas and Nashville. The rental vacancy rate across the metro is currently at 7.2%, providing house hunters with ample options. Raleigh, the only other North Carolina city included in the index, has also improved from a C to a B rating while permitting 23.8 homes per 1,000 residents, the fastest rate among all 44 cities. Its median one-bedroom apartment costs $1,290, which is $170 less than that of Charlotte.
Tenants in Charlotte are making significant gains by negotiating concessions. Since base asking prices have remained relatively stable, negotiating the monthly rate may yield less benefit. However, securing a free month presents a more tangible advantage. At the median price of $1,460, receiving one month free on a 12-month lease effectively reduces the monthly cost to approximately $1,338, a discount of $122 that is nearly six times the annual price decrease.
Note: Zumper developed its Renter Leverage Index to assess the negotiating power of renters, assigning grades from A to F across 44 major U.S. cities. An “A” means renters hold the most cards, and an “F” hands them to property owners. Each comparison sets June 2026 against June 2023.
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