Chattanooga, TN Multifamily Market Report | MMG Real Estate Advisors | Q1 2026

Market Overview
‍

Chattanooga's multifamily market remained one of the strongest demand stories in the Southeast in Q1 2026, with trailing 12-month absorption of 1,164 units far outpacing the 453 units delivered over the same period. Average effective rents stood at $1,342, reflecting a contained 0.6% annual decline relative to higher-supply peer markets, while occupancy held at 91.4%, down 50 basis points year-over-year. The active construction pipeline of 1,092 units (3.6% of inventory) sits 62% below its 2023 peak, even as trailing starts of 1,033 units, up sharply from 397 a year earlier, reflect renewed developer conviction as fundamentals stabilize. NOTE: The full report requires submitting contact information through a download form; the description above reflects publicly visible market snapshot data only.

‍
About MMG Real Estate Advisors

‍
MMG Real Estate Advisors is a multifamily investment sales and research firm tracking apartment market fundamentals across the Southeast, Midwest, and beyond. Their Q1 2026 Chattanooga multifamily market snapshot tracks rent, occupancy, absorption, and supply trends to help owners and investors assess market timing. To read the full report, click here.