A new report found Flagstaff is one of the most expensive areas for renters in the country.
Construction Coverage found the city is the eighth most expensive small city in the U.S. with a median rent of $2,153 a month. Flagstaff trailed behind cities like Boulder, Colorado and northern California's Napa where the average monthly rent was close to $3,000.
Arizona is the 10th most expensive state overall with a median monthly rent of about $1,976. California came in first with a monthly average of $2,690, while Iowa was the cheapest at a little more than $1,061.
The report attributes the high prices to imbalances in supply and demand. Inflation, rising labor costs and high interest rates have led to a drop in new rental development. It also notes economic conditions during the COVID-19 pandemic exacerbated issues with the rental market, contributing to the lowest rental vacancy rate since the 1980s.