Rent price growth has been highest for larger unit sizes in Boston over the last year. Year-over-year price growth for Boston 3 bedroom, 4 bedroom, and 5 bedroom apartments are up +5.75%, +6.97%, and +8.93% respectively. Prices for studios and 2 bedrooms rose by +4.99% and +2.03% respectively, while 1 bedroom apartments in Boston actually fell by -1.01% year-over-year. This trend of bigger bedrooms getting larger price increases did not surprise us one bit as our state energy prices are ridiculously high compared to all other states- so people are seeking ways to save money through more roommates. In numerous discussions with renters they have serious concerns with how our state improperly handles our utility prices. Tenants are now seeking more ways than ever to save money by living together. We expect this trend to continue until energy and utility prices come down.
Boston Apartment Rental Market Trends of 2025
There are several interesting trends that we are following that could have meaningful implications on Boston’s apartment rental market. Boston’s rental market is highly dependent on off-campus housing demand and rental supply, both of which could be affected by policy decisions in the upcoming months. Here are the trends to look out for.
Off-Campus Housing Demand and Student Visas
Harvard University made national headlines a few weeks ago when the Trump administration suspended their foreign exchange student program. The decision is still tied up in courts, but if approved it could have an effect on rental demand in the Boston metro. Regardless of Harvard’s outcome, the State Department did announce its plan to expand its vetting of foreign nationals seeking to study at US Universities.
It’s estimated that some local Boston universities have as many as 38% foreign students. If those numbers drop by any significant margin, it will undoubtedly affect the local rental market. In fact, we have already been seeing the effects of…