The multifamily market was stable at the start of 2024, despite the pressure of a supply boom in some markets, according to the latest Yardi Matrix National Multifamily Report. The average asking multifamily rent remained flat at $1,710 in January for a 0.5% year-over-year increase, while occupancy decreased 50 basis points year-over-year in December, to 94.6%.
Yardi Matrix Multifamily Rent Report for January 2024
Rent growth remained highest in the Northeast and Midwest, while four of Yardi Matrix’s top 30 metros posted rent declines of 3% or more year-over-year. Occupancy was positive in one market and remained flat in two.
Rent growth will be impacted by supply in 2024, as Yardi Matrix forecasts a record 540,000 units to be delivered this year, and another 460,000 units in 2025.
National Average Rents
“Another year of weak growth is expected in 2024 largely due to the rapid increase in deliveries that stems from the sector’s strong performance, high liquidity, and favorable treatment in the 2017 tax bill,” say Matrix analysts.
New supply is inconsistent across the map, with the highest amounts in fast-growing tertiary and secondary markets, predominantly in the Sunbelt and Western regions. There, multifamily rent growth will likely remain tepid. Meanwhile, the weak supply in markets in the Northeast and Midwest is expected to keep rents rising.
Single-family rentals outperformed multifamily last month, with the average rent up $2 to $2,130 in January, a 1.5% year-over-year increase. The occupancy rate in December stood at 95.7%, up 10 basis points year-over-year, a sign that demand remained robust.
Click here to read the full Yardi Matrix National Multifamily Report.
Related Stories
| May 21, 2013
Foster + Partners reveals plans for London residential towers
British firm Foster + Partners has unveiled plans for two residential skyscrapers as part of a mixed-use development in north London.
| May 21, 2013
7 tile trends for 2013: Touch-sensitive glazes, metallic tones among top styles
Tile of Spain consultant and ceramic tile expert Ryan Fasan presented his "What's Trending in Tile" roundup at the Coverings 2013 show in Atlanta earlier this month. Here's an overview of Fasan's emerging tile trends for 2013.
| May 20, 2013
Jones Lang LaSalle: All U.S. real estate sectors to post gains in 2013—even retail
With healthier job growth numbers and construction volumes at near-historic lows, real estate experts at Jones Lang LaSalle see a rosy year for U.S. commercial construction.
| May 7, 2013
First look: Adrian Smith + Gordon Gill skyscraper designed to 'confuse the wind'
The 400-meter-high, 116-story Imperial Tower in Mumbai will feature a slender, rounded form optimized to withstand the area's strong wind currents.
| May 6, 2013
7 major multifamily residential projects in the works
A $140 million redevelopment of a landmark, 45-building apartment complex in Los Angeles is among the nation's significant multifamily developments under way.
| Apr 30, 2013
Tips for designing with fire rated glass - AIA/CES course
Kate Steel of Steel Consulting Services offers tips and advice for choosing the correct code-compliant glazing product for every fire-rated application. This BD+C University class is worth 1.0 AIA LU/HSW.
| Apr 26, 2013
BIG tapped to design Europa City in suburban Paris
Danish architecture firm, BIG - led by Bjarke Ingels – has been announced as the winner of an international invited competition for the design of Europa City, a 800,000 square meter cultural, recreational and retail development in Triangle de Gonesse, France.
| Apr 24, 2013
Los Angeles may add cool roofs to its building code
Los Angeles Mayor Antonio Villaraigosa wants cool roofs added to the city’s building code. He is also asking the Department of Water and Power (LADWP) to create incentives that make it financially attractive for homeowners to install cool roofs.
| Apr 22, 2013
Top 10 green building projects for 2013 [slideshow]
The AIA's Committee on the Environment selected its top ten examples of sustainable architecture and green design solutions that protect and enhance the environment.
