Rental rates have decreased in most metropolitan areas

Chelyabinsk, Volgograd, Yekaterinburg, St. Petersburg and Moscow topped the rating of Russian megacities for reducing average rental rates for one-room apartments, according to the federal company "Floors".

"Average rental rates in Russia have been steadily declining since the beginning of this year, the main reason being a sharp increase in supply amid relatively subdued demand. Over the past few years, the cost of rent has increased so much that it has become unaffordable for most of those who need temporary housing," said Olga Pavlinova, director of the rental department of the federal company Etagi.

Last year alone, average rental rates for one-bedroom apartments in Russia increased by 18%, and overall, high annual growth rates have been observed over the past five years.

"In the wake of high demand for new buildings in the early years of state-backed mortgages, some Russians sold their existing homes and were forced to rent temporary housing before receiving the keys to a new apartment, as a result, for several years in a row during the seasonal peak demand in August-October, average rental rates rose sharply in price, sometimes adding 8-10 per month," the expert continues.

After this period, the availability of mortgages sharply decreased and those who either postponed buying their own or could not get mortgage loan approval began to actively rent housing.

"Since the end of last year, the situation has changed dramatically, the dynamics of supply growth began to significantly exceed demand, including an increase in the sale of second homes, which is why some owners began to rent out their apartments in parallel with the search for buyers. Now the volume of supply on the rental market is 40-60% more than a year earlier," explains Pavlinova.

Among Russian megacities, the most significant decrease in average rental rates for one-room apartments compared to January 2025 occurred in Chelyabinsk (-3.6%), Volgograd (-3.4%), Yekaterinburg (-3.2%), St. Petersburg (-3.1%) and Moscow (-2.4%). Also in the top ten are Krasnoyarsk (-2.3%), Samara (-2.2%), Voronezh (-2.1%), Perm (-1.9%) and Omsk (-1.4%). Growth over the same period was recorded only in Kazan (+1.4%) and Ufa (+0.4%). At the same time, average rental rates for two-room apartments turned out to be more stable since the beginning of the year, they decreased in Yekaterinburg (-2.8%), Moscow (-1.6%), Krasnoyarsk (-1.5%), Voronezh (-1.3%), St. Petersburg (-1.2%), Perm and Volgograd (-0.8% each), Ufa (-0.5%), Chelyabinsk (-0.2%). The other largest cities recorded growth, the most significant in Krasnodar (+2.6%) and Kazan (+1.6%).

"More stable rental rates for two-bedroom apartments are justified primarily by the high popularity of family mortgages. When families with children purchase an apartment in a new building during the construction phase, they most often rent apartments with at least two isolated rooms," Pavlinova summed up.

Urgent number: the demand for daily rent has increased 1.5 times in a year

Most often, apartments were rented for a day in the south of the country.

Analysts of the Yandex Rent service reported on June 4 that since the beginning of the year, all million-plus cities have shown an 8% reduction in the cost of rental housing. In their opinion, this is due to the growing supply and entry into the market of long-term rental apartments from the mass segment, including unsold secondary real estate.