Houston, TX Multifamily Market Report | MMG Real Estate Advisors | Q1 2026

Market Overview

Houston's multifamily market saw absorption reverse course in Q1 2026, with 1,234 units absorbed during the quarter following Q4 2025's 657-unit decline, though trailing 12-month absorption of 6,430 units continued to lag the 14,126 units delivered, sustaining lease-up competition across the metro. Average effective rents of $1,343 reflected a 1.5% annual decline driven by an outsized delivery cycle, with occupancy dropping 150 basis points over the past year to 88.4%. The under-construction pipeline has contracted 30% over the past year to 12,222 units (1.6% of inventory), with trailing 12-month starts of 8,931 units suggesting a more measured forward supply cadence as the market's outsized supply cycle turns. NOTE: The full report requires submitting contact information through a download form; the description above reflects publicly visible market snapshot data only.

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About MMG Real Estate Advisors

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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 Houston 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.