In December 2024, the average national apartment rent fell $4 to $1,742 per month, leaving the multifamily sector in a decline at year end. As the market enters 2025, strong demand and heavy supply growth signify hope for the future of the sector. Healthy job growth and demographics are expected to support absorption rates, according to Yardi Matrix’s National Multifamily Report.
As average monthly rent fell by $4 in December, the year-over-year growth rate fell to 0.6 percent. New York City, Kansas City, New Jersey, Chicago and Columbus, Ohio, recorded the highest rent growth for the year, as Austin, Raleigh, Phoenix, Atlanta and Denver both recorded negative rent growth.
As of November 2024, the national occupancy rate was steady at 94.7 percent. Despite Austin leading metros in completions, its occupancy rate was down only 0.2 percent. Similarly, Raleigh added 6.2 percent to its stock but saw unchanged occupancy rates. According to Yardi Matrix, this is