-1.png){kind=small}
Rent Growth
The change in a specified rent measure over a stated period, usually expressed as a percentage.
Rent growth describes the change in a specified rent measure between two dates. For comparable positive rent amounts, percentage growth equals the ending amount divided by the starting amount, minus one, multiplied by 100. A decline produces negative growth.
Identify the period, property group, and rent basis. Asking-rent trends, in-place rents, and effective rents answer different questions. Changes in the mix of listed homes can also affect averages; Zillow's repeat-rent method compares the same rental units over time to address that issue.
Source: Zillow Research, Methodology: Zillow Observed Rent Index.
Frequently Asked Questions
Does an asking-rent growth figure prove that existing lease income increased?
No. An asking-rent measure concerns advertised prices. It does not establish a change in a particular lease or in rent actually collected.
More in Leasing
See all Leasing terms →Assignment of Lease
The complete legal transfer of an existing tenant's entire leasehold rights, obligations, and physical occupancy to a new incoming tenant.
Read definition →Base Rent
The fixed minimum monthly rent agreed upon in a lease agreement, excluding utilities, janitorial, or shared operating expense pass-throughs.
Read definition →Co-Tenancy Clause
A commercial lease clause granting rent reductions or termination rights if anchor tenants vacate or center occupancy falls below agreed levels.
Read definition →Concession
A rental concession is an allowance, such as a free-rent period or move-in credit, that reduces rental income.
Read definition →Continuous Operation Covenant
A commercial lease requirement obligating a retail tenant to keep its store open, fully stocked, and staffed during designated business hours.
Read definition →