Los Angeles, CA Multifamily Market Report | Lee & Associates | Q1 2026

Market Overview

The Los Angeles County multifamily market remained stable but cooled in Q1 2026 after a stronger 2025, with 12-month absorption slowing to 2,527 units from 10,752 a year earlier and vacancy holding at 5.7%. Asking rents continued a modest climb to $2,345 per unit, while sale pricing per unit eased to $351,333 and cap rates expanded slightly to 5.1% amid higher interest rates and more measured investor activity. A still-active development pipeline of 18,878 units under construction could add near-term pressure on vacancies, but the market is moving toward equilibrium, backed by a diverse economic base even as affordability constraints temper investor sentiment.

About Lee & Associates

Lee & Associates is a nationwide commercial real estate brokerage serving investors, owners, and occupiers across property types. Their Q1 2026 Los Angeles multifamily market report tracks net absorption, vacancy, asking rents, sale pricing, and top transactions to help investors and owners assess current market conditions. To read the full report, click here.