Nearly 40% of U.S. Rentals Now Offer Concessions: Good News If You're Saving to Buy

Many Vietnamese families in Atlanta are currently renting while saving for a down payment. The good news: Zillow's latest rent report shows this is one of the best times in years to be a renter. Megan Huynh shares how to make the most of it.

1. Rental Concessions Hit a Record High

• 39.8% of rental listings on Zillow now include concessions (free rent, waived fees, reduced move-in costs) — up 5 percentage points from last year.
• A year ago, only about 1 in 3 listings had a concession; before the pandemic, it was closer to 1 in 6.
• The driver: a wave of new apartment construction pushed the national vacancy rate to 7.3%, well above 2021's 5.6%.

It's worth noting where this concession wave is concentrated: mostly in large apartment complexes, especially buildings completed in the last 2-3 years, where owners need to fill hundreds of units at once to keep operating cash flow healthy. Single-family rentals, on the other hand, tend to see fewer concessions since that supply grows far more slowly than apartment supply. So if you're renting a single-family home, don't be surprised if your landlord hasn't offered a concession outright — that doesn't mean you can't ask.

Source: Zillow Research.

2. How Much Can You Actually Save?

With the income needed to afford a typical U.S. rental now near $77,200/year, one free month of rent puts roughly $1,930 back in your pocket — real money that can go straight into your down payment fund. Factor in other common perks that often come bundled with concessions — waived application fees, a free first month of management fees, or discounted parking — and the total first-year savings can add up to noticeably more.

Set against a full-year 2026 rent growth forecast of just 2-3.1% (see the details in our 2026 rent inflation forecast), renters currently have a fairly favorable window: keeping monthly living costs in check while accelerating savings toward a home purchase — something that rarely happens at the same time during hot rental markets.

3. Three Moves Renters Should Make Now

• Ask for concessions at renewal: don't hesitate to negotiate — landlords need to fill vacancies.
• Redirect the savings into your down payment fund: every free month gets you closer to qualifying for an FHA (3.5% down) or Conventional (3% down) loan. Run the exact numbers in Down Payment & Closing Costs Explained.
• Build your credit in parallel: use the savings window to improve your credit score for a better rate when you're ready to buy.

Beyond those three moves, it helps to set a concrete timeline for moving from renting to owning — say, 12-18 months — and track your monthly savings progress against it. Having a clear target keeps you from drifting into "renting indefinitely because I'm not quite ready," especially with today's for-sale market (see the June 2026 market report) offering relatively favorable conditions for buyers thanks to slower price growth.

4. When Should You Move from Renting to Buying?

There's no universal answer to "keep renting or buy now" — it comes down to three factors: (1) whether you have enough saved for a down payment and closing costs, (2) whether your credit score and debt-to-income ratio meet loan requirements, and (3) whether you plan to stay in the area for at least 3-5 years, since transaction costs on buying and selling typically need that long to pay off. If all three boxes are checked, continuing to rent while waiting for a "perfect moment" can mean missing out on building equity through homeownership — one of the most effective wealth-building tools available to families in the U.S.

On the other hand, if you're not quite there on all three fronts yet, continuing to rent during a high-concession period like now isn't "delaying" — it's smart preparation, as long as you're working from a concrete plan and checking your progress regularly, rather than letting renting drag on with no clear target date.

5. Mistakes Renters Should Avoid

• Letting the savings blend into everyday spending: Without a separate account earmarked for your down payment, concession savings can quietly disappear into daily expenses.
• Focusing only on rent and ignoring total cost: A unit with lower rent but high management, parking, or utility fees may not actually be the cheaper option.
• Waiting for the "perfect" rate before starting the paperwork: Credit and financial prep should run in parallel with your savings timeline, not start at the last minute.

6. Megan Huynh Supports Renters on the Path to Their First Home

As a licensed Georgia Real Estate Agent (License #305560) and a licensed mortgage professional (NMLS #2155092), Megan Huynh understands what families renting today are weighing as they think about their first home purchase. With 22+ years of experience and 696 closed transactions in the Georgia market, Megan will help you build a concrete savings plan, identify the right time to get Pre-Approved, and compare rates across 50+ partner lenders to find a program that fits your current budget — including first-time buyer options with low down payment requirements. Every step is explained fully in both Vietnamese and English.

Renting doesn't mean sitting out of homeownership — it can be a smart stepping stone if timed right. Megan Huynh will help you build a concrete plan to move from renting to owning as fast as possible, including identifying the right area for your budget — for example, Duluth, known for affordable pricing and a large Vietnamese community. Browse the full Georgia Home Loans lineup. Call 404-731-3700 today!