Durham, NC Multifamily Market Report | Lee & Associates | Q4 2025

Market Overview

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Durham's multifamily construction pipeline contracted sharply through Q4 2025, falling to 3,536 units from a mid-year peak of 6,485. That pullback sets a clearer path to balance: trailing 12-month net absorption held at 2,674 units, consistent with the prior year's pace, while vacancy ticked up only slightly to 10.9% as recent deliveries added to inventory. Asking rents eased to $1,533 per unit and cap rates moved to 5.57%, reflecting modest recalibration in investor pricing. Sale prices averaged $215,200 per unit. With development activity tightening considerably, the market is positioned for gradual improvement in fundamentals through 2026.

‍About Lee Associates

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Lee Associates is a nationwide commercial real estate brokerage serving investors, owners, and occupiers across property types. Their Durham Q4 2025 multifamily market report tracks absorption, vacancy, asking rents, and capital markets activity to help investors and owners assess market conditions. To read the full report, click here.