Q225 | Multifamily Market Report | Los Angeles, CA

Market Overview

In Q2 2025, Los Angeles’s multifamily market softened as vacancy rose to 5.2 percent, driven by weakening demand among lower- and middle-income renters. Rent growth was muted at just 0.6 percent, reflecting sluggish momentum across all property classes. New supply outpaced demand, with 2,600 units delivered and only 533 absorbed, although Los Angeles maintained tighter conditions than many U.S. metros due to its slower development pace.

About Matthews

Matthews Real Estate Advisors is a data-driven boutique firm offering granular market intelligence and advisory services. Their quarterly multifamily reports deliver detailed insights on vacancy, rent growth, absorption, and supply dynamics to help investors, owners, and developers make well-informed decisions.