Multifamily rents rose slightly in March, and property fundamentals remain stable despite volatility in the financial markets, according to a recent report from Yardi Matrix.
In the first quarter of the year, multifamily demand held up well despite the attention given to the Federal Reserve–induced economic slowdown, bank failures and the deceleration from the outsize rent gains of the last two years. The average U.S. asking rent rose $3 to $1,706 in March, and single-family rental rates increased by $5 to $2,079. Rents and the national occupancy rate were unchanged during the first quarter of 2023, and 21 of the top 30 Matrix metros recorded rent gains in March.
Year-over-year growth fell to 4 percent nationally, which is 90 basis points less than February and the lowest level since rents started an unprecedented climb in April 2021. In addition, single-family rental rates fell by 80 basis points to 2.8 percent year-over-year, and occupancy rates decreased in Februa