2024 Multifamily Market Snapshot from RealPage Market Analytics Apartment occupancy levels remain resilient at 94.8%, aligning with long-term averages, while regional trends paint a varied picture. The Northeast leads with a robust 96.3% occupancy rate, signaling demand stability. Meanwhile, the South lags at 93.9%, impacted by oversupply, and regions like the Midwest (95.3%) and West (95.2%) showcase steadier performance. Top Rent Growth Markets: Midwest Leads the Way Detroit, Kansas City, and Chicago are standout performers with significant rent increases, driven by moderate supply growth and consistent demand. Opportunities in Stabilizing Markets Despite the West seeing a slight monthly rent decline, markets like San Jose and Seattle are now showing above-average rent growth, signaling recovery. The Midwest remains a beacon for stable investment opportunities, thanks to its moderate supply pipeline and consistent demand. Source: RealPage Market Analytics
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CBRE’s research indicates that multifamily markets with high supply and negative rent growth may soon bounce back. Stabilizing occupancy rates and strong renter demand are setting the stage for rent growth, especially in cities like Atlanta, Orlando, and Phoenix. As these trends continue, property values are expected to rise, even in the most oversupplied markets. https://lnkd.in/e_VaGM4Y
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CBRE’s research indicates that multifamily markets with high supply and negative rent growth may soon bounce back. Stabilizing occupancy rates and strong renter demand are setting the stage for rent growth, especially in cities like Atlanta, Orlando, and Phoenix. As these trends continue, property values are expected to rise, even in the most oversupplied markets. https://lnkd.in/e7ck5uDV
High-Supply Multifamily Markets Poised for Recovery
multifamilyexecutive.com
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📈 Exciting news in the real estate market! According to the latest Yardi Matrix National Multifamily Report, national asking rents experienced their most significant surge in 20 months, reaching $1,721 in March with a year-over-year growth rate of 0.9%. 🏙️ Among the top 30 metros, 13 previously saw negative rent growth, but the tide is turning, with only two metros experiencing negative growth in March. This positive trend is particularly evident in the Northeast and Midwest, where markets like New York City and Columbus, Ohio, are leading with impressive year-over-year growth rates. 💼 While economic concerns and a robust supply pipeline have fueled speculation about the sector’s performance this year, March’s data provides a reassuring outlook. Though rent growth may remain tempered due to affordability and new supply, the overall tone early in 2024 is encouraging.
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High Occupancy vs. Rents vs. Tenant Quality: The Multifamily Balancing Act!! In multifamily, this is the #1 debate: Should I lower rents to boost occupancy? The knee-jerk response is often, "Of course—cash flow is king!" But it’s not that simple, and sometimes it’s the wrong move. Here’s why: When rents are dropped, properties often attract tenants who are more rent-burdened and less stable. This can create challenges down the line, especially during lease renewals. Existing tenants notice when new residents are paying less and may push back against flat renewals or modest increases. Worse, this emotional response can lead to turnover, driving vacancy even higher. I’d rather be at 88% occupancy with stable rents than 91% with reduced rents that erode tenant quality and future NOI. Remember, cash today isn’t always king when you’re thinking about long-term value, refinancing, or exit strategies. Of course, if your occupancy is at 78%, it’s a different story—but in most cases, strategic restraint beats chasing short-term gains. What’s your take? Would you hold rents or prioritize occupancy?
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A widening supply and demand imbalance for apartments across the U.S. will drive national annual year-over-year Class A multifamily rent growth up 2.4% by January 2026, according to Origin Investments' 2025 Rent Growth Forecast. Rates in markets such as Colorado Springs, Dallas, Jacksonville, Las Vegas, Orlando, Raleigh and Tampa will see increases between between 4.0% and 5.7%. #cre #multifamily
Origin Forecasts Continuing Rent Growth for Class A Apartments - Connect CRE
connectcre.com
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A widening supply and demand imbalance for apartments across the U.S. will drive national annual year-over-year Class A multifamily rent growth up 2.4% by January 2026, according to Origin Investments’ 2025 Rent Growth Forecast. Rates in markets such as Colorado Springs, Dallas, Jacksonville, Las Vegas, Orlando, Raleigh and Tampa will see increases between between 4.0% and 5.7%. David Scherer #cre #multifamily
Origin Forecasts Continuing Rent Growth for Class A Apartments - Connect CRE
connectcre.com
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🏢✨ The U.S. multifamily market is showing promising signs of growth, with the average asking rent rising for the fourth consecutive month! 🌟 In May, rents increased by $6, reaching $1,733, which is a 0.6% increase year-over-year and up 1.0% year-to-date. National occupancy rates also remained strong at 94.5% in April. 📈💼 Looking ahead, experts predict steady growth in the multifamily sector, driven by continued demand and favorable market conditions. 🌟🏢 On a similar note, the single-family rental market continues to shine, with rents up 1.4% year-over-year, bringing the average rent to $2,166 in May. 🏠💰 Stay tuned for more positive developments and opportunities in the rental market as we move forward! Learn More: https://lnkd.in/gx8dsD2f #RealEstateInvestment #Sustainability #MultifamilyInvesting #RealEstateTrends #MultifamilyMarket #RentalGrowth #PropertyInvestment #MarketUpdate #PositiveGrowth #FuturePredictionst #USARealEstate #GoldstoneCapital
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Q3 Multifamily Market Highlights: Washington D.C. Metro Area Yardi Matrix’s Q3 forecast reveals key trends in multifamily real estate, with a significant decline in new construction and rising occupancy pressures. Although multifamily starts dropped by 50% from 2022 levels, extended completion timelines keep the construction pipeline steady, with completions projected to remain high through 2026. In the Washington D.C. metro area, rent growth remains positive, up 3.1% year-over-year—among the highest of major markets. D.C. also ranks in the top three for unit absorption since March 2020, with 60,000 units taken up. Nationally, average rents dipped slightly in September, with occupancy holding steady at 94.8%. HannaCRE is here to help you make informed investment decisions in the evolving D.C. market, assist with property sales, and secure the right leasing opportunities. Let’s work together to position your investments for success. Contact us today to start capitalizing on the latest multifamily trends in Washington D.C. #CommercialRealEstate #Multifamily #CRE https://lnkd.in/gkFCzxpD
National Multifamily Market Report – September 2024
https://www.yardimatrix.com/blog
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RealPage, Inc. reports that multifamily fundamentals held steady in May despite a historic supply wave. With U.S. apartment occupancy at 94.2%, in line with early 2024 levels, renters are absorbing new units at healthy rates. 📈 RealPage’s chief economist Carl Whitaker highlights that stable occupancy amidst high supply reflects strong demand. 🔺 May saw a 0.5% month-over-month rent growth, indicating a return to seasonal norms. For more details, read the full report by Christine Serlin: https://lnkd.in/gnZ4M5v6 #multifamilyhousing #apartmentmarkettrends #multifamilyinvesting #apartmentinvestments #realestateinvesting #rentgrowth #apartmentinvesting #multifamilyinvesting
Apartment Occupancy Continues to Show Resilience
multifamilyexecutive.com
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Today’s US Multifamily Market We are excited to share our insights in the current state of the US multifamily market, highlighting key trends: - Multifamily sales have slowed significantly, with 2023 seeing only $85.4 billion in sales compared to $263 billion in 2021. - National rent growth has decreased, with Class A properties experiencing minimal to negative growth, while Class B/C properties show steady increases. - Despite market challenges, renter demand remains strong, with significant absorption rates and low delinquency. - An influx of new supply is impacting vacancies and rent growth, particularly in high-growth Sunbelt markets. Staying informed about these trends helps us better anticipate shifts in rental demand and vacancy rates. For more in-depth insights and our strategic outlook, check out our full article here: https://lnkd.in/g9U3YcuH #RealEstate #Multifamily
Today’s US Multifamily Market
garygroupcapital.com
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