U.S. Multifamily Capital Markets Conditions & Trends | Newmark | Q1 2026

Market Overview

In Q1 2026, the U.S. multifamily sector posted strong absorption of 93,277 units, about 40% above the long-term average, alongside new deliveries that eased significantly, declining more than 50% from late-2024 levels. Homeownership costs remained a key driver of rental demand, with owning costing $1,040 more per month than renting, roughly 2.4 times the long-term average spread, while a 49.1% gap between current mortgage rates (6.38%) and existing effective rates (4.28%) continued to discourage move-outs from owned homes. Debt market liquidity stayed robust, with originations up 46% year-over-year, as rent growth rotated toward supply-constrained coastal and Midwest markets even as high-growth Sunbelt metros worked through a larger wave of new supply.‍

About Newmark

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Newmark is a leading commercial real estate advisory firm providing investment sales, debt and structured finance, and valuation services to owners, investors, and occupiers nationwide. Their Q1 2026 U.S. Multifamily Capital Markets Conditions & Trends report tracks demand, supply, capital flows, and pricing trends to help investors and lenders navigate the sector. To read the full report, click here.