Rent on the rise

Booming Dallas suburb boasts the biggest rent increase in the U.S.

Booming Dallas suburb boasts the biggest rent increase in the U.S.

apartment house for rent sign
That Plano apartment is going to cost you. ejs9/Getty Images

Rents are on the rise — and in big fashion — in Plano. The happiest city in America and a top choice for job seekers is also home to the biggest rent hike in the nation.

A new report from Apartment Guide compared two-bedroom apartment rent prices in the 100 largest U.S. cities to determine where rents are falling and where they are rising the fastest. Plano ranks No. 1 with rent prices skyrocketing 25.3 percent in 2018.

The attractive DFW suburb is home to many corporations, including Rent-A-Center, Dr Pepper, and Pizza Hut, but "the problem with Plano is that it's run out of room," the report says.

"The city is fully surrounded by others in the Metroplex and contains very little undeveloped land," the report adds. "As companies need more people, demand for housing is pushing rental rates up, with a two-bedroom rising a massive 25.3 percent since a year ago, to an average of $1,824."

Apartment Guide reports that the average two-bedroom rent in the U.S. increased by only 4 percent last year. Other Texas cities outpacing the national average are Arlington (up 6.7 percent), Lubbock (up 6.2 percent), and Dallas (up 6.1 percent).

On the flip side, there's rental relief in two Texas hot spots that appear on the list of biggest rent decreases. In Houston (No. 3), rents fell 8.4 percent to $1,548, and in nearby Fort Worth (No. 8), rents dropped 5.6 percent to $1,376.