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Multifamily New Supply To Decrease In 2025-2026

Rental Housing Journal

This slowdown has begun to work its way into the under-construction pipeline, which will result in a contraction of new supply from 2025 through 2027. For the Q1 2025 update, the Yardi Matrix Multifamily Supply Forecast was increased for years 2025 through 2027. As a result, forecast completions for 2025 have been increased by 3.3%

Finance 52
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Tariff Uncertainty Affects Multifamily Construction Starts

Rental Housing Journal

However, elevated completion times and a still-large under-construction inventory imply that supply will not completely bottom until 2027, writes Ben Bruckner, senior research analyst for Yardi Matrix, in the report. The large decline will drive a slowdown in new supply in 2026. Read the full report here.

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Will Multifamily Have a Strong Year in 2025?

Rental Housing Journal

We expect multifamily advertised rents to increase moderately in 2025, by 1.5% Most notably, weak buying power and the high costs of homeownership continue to keep potential buyers in apartments longer. However, tariff threats and promises of large-scale deportations could raise prices and lower apartment demand, the report says.