The multifamily housing market turned in a lackluster performance in 2017 as demand failed to keep pace with a deluge of new apartment supply, according to a new report to be released Wednesday. U.S. apartment rents climbed 2.5% in 2017, according to RealPage Inc., a real estate technology and data firm. That was in line with historical averages but down significantly from the 5.2% posted in 2015, the most recent peak. Rents...
A growing supply of new multifamily homes in the US has been met with a slowing of rent increases. Construction of new apartments reached around 400,000 units in 2017, leading landlords to limit increases and offer other incentives to tenants. As a result, average rents for apartments rose 2.5% in 2017, well below the peak of 5.2% recorded in 2015. At that time, more than a dozen urban areas recorded rises of above 6%, with some as high as 12%. By the end of 2017, only Sacramento had an increase of more than 6%.