This is where rent is dropping around Lexington. View the latest data from RentHub

Median rent prices in many of Lexington’s zip codes are either leveling off or falling, the latest available data from the housing analytics firm RentHub show.

It remains to be seen whether this is the start of a long-term dip in rent prices, especially for tenants strained by rising rents.

In October 2022, seven metros across the U.S. saw year-over-year declines. In November, those prices dipped even lower, according to a Realtor.com analysis. It’s a steeper dip than just the typical seasonal declines, suggesting a deepening trend, according to Realtor.com.

Prices also seem to be falling the most in Sun Belt cities, in the West and in the South, where climates are warmer and housing is typically more affordable.

Indeed, rental prices are still growing in expensive metros like Chicago, Boston and New York City, as well as cheaper Midwest cities like Indianapolis, Detroit and Kansas City, according to Realtor.com.

“People started to move back to big cities,” Realtor.com economist Jiayi Xu said. “During the [coronavirus] pandemic, people were moving to the Sun Belt areas like Florida. Now, when we look at data from Boston and Chicago, demand there is up.”

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A look at Lexington’s median rent prices

In early 2023, median rent in at least two Lexington zip codes is down slightly from where it stood at the end of 2022, according to RentHub data.

Median rent in the 40503 zip code dipped slightly to $1,535 in January. That’s down from $1,565 in December. Renters in the 40502 zip code are now paying a median of $1,168, down from $1,181 last month.

January median rent data for the 40507, 40508 and 40505 Lexington zip codes isn’t available yet through RentHub. However, data for 40508 and 40505 show December dips from where the median rent stood in November.

In 40508, median rent was $1,190 in December, down from $1,340 in November.

For 40505, the drop was even steeper. The median rent price was $825 in December, down from about $1,340 in November. That’s a decrease of roughly 38%.

See more using the graphic with data from RentHub:

Note: This interactive graphic will automatically update as new data become available.

If you’re looking for a place to rent and need a good deal, your best bet might be to check with a smaller landlord or owner. That’s because, according to Realtor.com, an individual landlord might be more willing to drop their price rather than let their unit sit empty.

“They have no intention to sell, so they realistically have to lower the rental price,” said Bryan Kyle, a real estate agent and property manager cited in the Realtor.com analysis.

If you’re looking to buy a home in Lexington or Central Kentucky, here’s our latest price outlook, sourced with data from Bluegrass Realtors.

Do you have a question about housing in Kentucky for our service journalism team? We’d like to hear from you. Fill out our Know Your Kentucky form or email ask@herald-leader.com.