Marketbeat United States Multifamily Q1 2025

Market Overview

Multifamily demand surged in Q1 2025, with absorption hitting nearly 102,000 units—up 12% from the year before and outpacing new deliveries. Vacancy fell slightly to 9%, while annual rent growth held steady at 2%. Southern markets like Dallas–Fort Worth and Phoenix continued to lead absorption totals, driven by population growth and housing affordability dynamics. With construction starts declining 36% year-over-year, market fundamentals are expected to strengthen as supply pressures ease.

About Cushman & Wakefield

Cushman & Wakefield is a top-tier global real estate services firm headquartered in Chicago, serving clients in over 60 countries. With expertise in brokerage, property management, and capital markets, the company supports real estate owners, occupiers, and investors. Its U.S. Multifamily MarketBeat reports are trusted for tracking absorption trends, rent growth, construction activity, and vacancy rates—providing vital insights for multifamily investors and developers.