Market Snapshot Boston Q1 2025

Market Overview

Boston’s multifamily sector showed stable fundamentals in Q1 2025, with effective rents growing 2.1% year-over-year—outpacing national averages despite a cooling trend from previous years. Occupancy remained strong at 95.7%, and absorption slightly exceeded new deliveries, signaling steady renter demand. New supply was limited, with just over 1,100 units completed, while construction starts dropped to their lowest point in over a decade. This slowdown may help stabilize the market in the coming quarters. Suburban submarkets such as Route 2, Rockingham County, and South Plymouth led in rent growth, while central urban zones like Downtown Boston and Back Bay remained resilient in pricing and occupancy.

About MMG

MMG Real Estate Advisors is a national multifamily investment sales firm offering transaction services, market research, and client-focused guidance to institutional and private investors. Their market reports blend current operating data with capital market trends, including rent growth, occupancy, absorption, and investment sales insights. With a deep understanding of submarket performance and supply-demand dynamics, MMG’s research equips stakeholders with the tools to make strategic decisions in complex, evolving metros like Boston. Their team regularly tracks pricing per unit, transaction volume, and active buyer/seller behavior to help clients assess market cycles and identify investment opportunities.

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