Rental market slowed after pandemic-era boom, amid demographic shifts, softer labor market, rising vacancies, and constrained development.
After a 3-year slump, multifamily sales rebounded in 2025, ↑15% as fresh supply reached market.
National multifamily vacancy hit a record 7.3% in December, as new units meet sluggish demand.
Starts peaked at 547,000 in 2022; forecast ↑16% to 413,000 in 2025, then ↓5% in 2026.
Despite elevated vacancies, occupancy sentiment stayed strong with MOI 74; potential influx of young adults may help.
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