The rental market is shifting in ways we haven’t seen in more than a decade. According to a recent report in The Wall Street Journal, national rents are projected to rise by only 0.8% in 2025—the slowest pace since 2011. For property owners, investors, and managers, this marks the arrival of a new cycle that requires fresh strategies and a proactive mindset.
Why Is This Happening?
1. More “Accidental Landlords.”
Many homeowners who cannot sell at their desired price are choosing to rent their properties instead. This increases the number of rental units available and adds pressure to an already competitive market.
2. A Growing Supply of Choices.
Tenants now have more options than ever before. With more homes on the market, renters are negotiating harder, and price reductions are becoming the norm rather than the exception.
3. Slower Rent Growth.
The days of double-digit rent increases are behind us—for now. With rent growth barely keeping pace, landlords who hold out for top dollar risk longer vacancies and lost income.
The Ripple Effect in Local Markets
Here in Lake Nona and the greater Orlando area, the sales market is also showing signs of saturation. Inventory is up, homes are taking longer to sell, and some sellers are pivoting to rentals. This overlap means that both sales and rental markets are feeling the weight of increased supply.
The result? More competition, more cautious renters and buyers, and more pressure on landlords to price wisely.
How Owners Can Stay Ahead
At Verandah Properties, we believe every challenge is also an opportunity—if approached strategically. Here are the key steps we’re advising:
Price to Move, Not to Sit.
Vacancy is more costly than a $50–$100 rent adjustment. A competitively priced unit will lease faster and protect long-term returns.Embrace Negotiation.
Today’s renters expect to negotiate. Owners who are open to concessions or flexible terms often see shorter vacancy periods and stronger tenant relationships.Focus on Presentation.
In a crowded market, the best-maintained and best-presented homes win. Fresh paint, updated fixtures, and professional marketing make a significant difference.Rely on Data, Not Guesswork.
We monitor local showings, feedback, and competing listings weekly. This allows us to pivot quickly, keeping our owners ahead of the curve.
The Bottom Line
The rental landscape in 2025 is different from the surge years that followed the pandemic. With slower rent growth and more competition, the key to success lies in being proactive, flexible, and market-smart.
At Verandah Properties, we see this as an opportunity to help our clients not just adapt, but thrive. By pricing strategically, staying responsive, and leveraging our market expertise, we ensure properties remain competitive and occupied—even in a historic downturn.
📌 Stay tuned to our blog for more insights on the Orlando and Lake Nona rental markets. And if you’d like a custom assessment of your property’s position in today’s market, our team is here to help.