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
Retail Centers | Aug 31, 2015
Urban developers add supermarkets to the mixes
Several high-rise projects include street-level Whole Foods Markets.
Multifamily Housing | Aug 27, 2015
Architects propose shipping container tower to replace slums
The firm says approximately 2,500 containers would be needed to complete the design, which aims to accommodate as many as 5,000 people.
Mixed-Use | Aug 26, 2015
Innovation districts + tech clusters: How the ‘open innovation’ era is revitalizing urban cores
In the race for highly coveted tech companies and startups, cities, institutions, and developers are teaming to form innovation hot pockets.
Multifamily Housing | Aug 25, 2015
London multifamily building to have transparent swimming pool designed by Arup
Residents and visitors will be able to swim 10 stories above ground, and see views of London.
Sponsored | Multifamily Housing | Aug 25, 2015
Engineered wood helps meet booming demand for multifamily projects
Multifamily housing starts reached 358,000 in 2014, a 16 percent increase over 2013 and the highest total since 2007
Sponsored | Fire-Rated Products | Aug 24, 2015
Of Sky Garages and Dezervators: Porsche Design Tower sets a new standard of cool with the help of fire rated glass
The 60-story, 132-residence luxury Porsche Design Tower designed by Sieger Suarez Architects promises to deliver a new standard of cool.
Multifamily Housing | Aug 10, 2015
SOM, Woods Bagot part of mega multifamily development planned for San Francisco's west side
The first 1,000 residential units will kickoff a decade-long plan to add 5,6779 new housing units.
Giants 400 | Aug 7, 2015
MULTIFAMILY AEC GIANTS: Slowdown prompts developers to ask: Will the luxury rentals boom hold?
For the last three years, rental apartments have occupied the hot corner in residential construction, as younger people gravitated toward renting to be closer to urban centers and jobs. But at around 360,000 annual starts, multifamily might be peaking, according to BD+C's 2015 Giants 300 report.
High-rise Construction | Aug 7, 2015
Tribute tower to cricket world champs will be Sri Lanka’s tallest
The 1996 Iconic Tower will be a tribute to the country’s cricket team, which won the World Cup in 1996.
Multifamily Housing | Aug 5, 2015
FacadeRetrofit.org: A new database for tracking commercial and multifamily façade upgrades
The site allows users to submit information about new projects, or supplement information on those already posted.
