National Multifamily Report – June 2025
Rent grew at half the rate of pre-pandemic cycles during the first half of the year, according to Yardi Matrix.
The U.S. multifamily market maintained steady performance during the first half of 2025, according to Yardi Matrix’s latest survey of 140 markets. Against the backdrop of mounting economic uncertainty and record-high deliveries, the national average advertised asking rent rose 1.2 percent over the first two quarters. The figure increased by $3 to $1,749 in June, up 0.9 percent year-over-year. Occupancy stood at 94.6god percent in May, unchanged over the past seven months, but down 20 basis points year-over-year. Over in the build-to-rent sector, the average advertised asking rents rose by $4 to $2,201 in June, up 0.7 percent growth year-over-year.
Midwestern markets posted some of the strongest rental upswings on a yearly basis, such as Chicago (3.6 percent), Columbus (3.3 percent), Kansas City (3.2 percent), and Detroit (2.9 percent). The effects of consistent record-high deliveries continue to manifest with negative rent growth throughout metros such as Austin (-4.7 percent), Denver (-3.9 percent), Phoenix (-2.6 percent), Orlando (-1.2 percent) and Dallas (-1.2 percent). With completions exceeding 4.0 percent of stock in one-third of the top 30 metros, most markets witnessed a gradual shift in occupancy levels, showing strong demand. Some of the outliers in either direction included Chicago (0.4 percent year-over-year), Denver (-1.0 percent) and Phoenix (-0.6 percent).
Gateway and tech hubs lead short-term rent growth
On a monthly basis, the average advertised asking rents increased 0.2 percent in June. Just four of the top 30 markets posted negative movement, including Austin (-0.3 percent), Phoenix (-0.2 percent), Tampa and Miami (both -0.1 percent). Gateway and tech hub metros recorded the highest monthly increases with Chicago leading the way (0.7 percent), followed by Boston (0.6 percent), and Columbus (0.4 percent), as well as San Francisco and Seattle (both 0.4 percent).
Although yearly and monthly rates have posted mostly tepid growth, renters’ budgets are becoming increasingly strained. Half of U.S. renters spent more than 30 percent of their income on housing and utilities in 2023, according to a recent Harvard Center for Joint Housing Studies report. Moreover, 27 percent spent more than 50 percent of their income on housing. Harvard’s findings corroborate Yardi Matrix data, which shows the national advertised asking rents grew 27 percent in the five years ending May 2025.
With a $4 growth in June, the average asking advertised rental rate in the single-family build-to-rent sector broke through the $2,200 mark for the first time, settling at $2,201 with a 0.7 percent growth year-over-year. Chicago topped the yearly SFR-BTR growth chart, with a 6.1 percent rise, mirroring its top multifamily performance. Kansas City (5.5 percent) followed, together with the Inland Empire (4.5 percent) and Harrisburg (4.1 percent). Conversely, the rents shrank in markets such as Raleigh-Durham (-3.9 percent), Austin (-2.9 percent), Tampa (-2.5 percent) and Cleveland (-2.3 percent).
Read the full Yardi Matrix multifamily real estate report.
