A “For Rent” signs stands in the yard of a home in San Antonio, where the median monthly rent is $1,270. Credit: Ben Olivo

The San Antonio area is constructing more built-to-rent (BTR) homes than the majority of other U.S. metros, according to a new study from online rental marketplace Point2Homes.

The Alamo City metro area has roughly 3,000 BTR homes in the works, making it the metro with the eighth-highest number of new rental dwellings under construction.

The U.S. BTR industry exploded as mortgage rates rose in recent years and continue to hover near decade highs, according to Doug Ressler, senior analyst at Point2Homes sister company Yardi Matrix. That’s put the American dream of home ownership out of reach for many.

“On average, renting a BTR unit is cheaper than buying a starter home,” Ressler said in a statement. “Recent reports indicate that renting can save around $1,000 per month compared to buying. This is largely due to high mortgage rates and elevated home prices.”

Despite Sunbelt real estate being cheaper than the East and West Coasts, that’s where the majority of BTR homebuilding is taking place, researchers found.

Indeed, four of the top 10 metros for BTR homes were in Texas. Nearly 22,000 are being built in the Lone Star State this year, according to Point2Homes.

The U.S metros building the most BTR homes in 2025, according to study, include:

  1. Phoenix
  2. Dallas
  3. Atlanta
  4. Charlotte
  5. Houston
  6. Austin
  7. Orlando
  8. San Antonio
  9. Raleigh
  10. Huntsville

Despite the construction boom for rental properties, developers trying to cash in on the craze might be disappointed with their returns.

In San Antonio, the average rent for a one-bedroom apartment dropped nearly 2% last year, while the cost of a two-bedroom apartment remained flat, according to a separate report from online rental marketplace Zumper.

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This article appears in Feb 5-18, 2025.

Michael Karlis is a multimedia journalist at the San Antonio Current, whose coverage in print and on social media focuses on local and state politics. He is a graduate of American University in Washington,...