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Residents of this U.S. city face a huge spike in rents

Navigating rent and home price hikes
How to negotiate increases in rent and navigate rising home prices 05:33

Miami, known for its celebrity hotspot Millionaires Row, is now also making a name for itself as the city of painfully high rents. Through May, rent soared nearly 40% in the Magic City over the last year, according to recent data from CoreLogic, a provider of real estate research. The median rent in the Miami-Miami Beach-Kendall area is now a hefty $2,435. 

Residents of other Florida cities are also facing a large spike in housing costs. A few hours north in Orlando, rent climbed 25% over the same time period, with the median at about $1,900 a month. 

Rents are soaring in many parts of the U.S., mainly because of a lack of affordable housing, sky-high home prices and, more recently, rising mortgage rates as many would-be homebuyers opt to continue renting.

Nationwide, rents rose at an annualized rate of 13.9% in May, according to CoreLogic. Other metro areas where rents have shot up over the last year: Atlanta, Boston, Dallas, Las Vegas and Phoenix, according to CoreLogic. 

MoneyWatch: The cost of rent is on the rise 03:21

If there's a sliver of good news in CoreLogic's numbers, it's that rent increase are at least starting to stabilize. A report from also found that increases in June and July leveled off. 

The need for affordable housing has become even more urgent as households struggle with surging inflation, which is elevating prices for food, gas and other necessities to new heights. Nearly 30% of U.S. adults in a recent Bankrate survey said they'd be willing to move to a different state if they found more affordable housing.

In Florida, some people are working second jobs in order to afford rent, CBS affiliate WFOR in Miami reported. In Colorado, residents marched to the State capitol to protest rising rent costs. In Manhattan, the average rent now tops more than $5,000.

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