Demand keeps pace with supply in U.S. multifamily market

Healthy demand in the U.S. multifamily market has matched robust supply levels, leaving average rents virtually unchanged in June 2025. Uncertainty remains over tariffs and immigration policy.

Written by Joel Nelson

07 / 29 / 25

2 min read

Exterior view of modern multifamily building

Mid-year finds U.S. multifamily at a crossroads, with rents seemingly treading water as the market digests supply, demand and economic factors.

The market’s robust demand is tempered by rapid supply growth in many markets and widespread economic uncertainty centered about tariff and immigration policy impacts, according to a new national report from Yardi Matrix.

The national average advertised asking rent rose just 0.9% year-over-year in June, reaching $1,749. While rents have risen by 1.2% year-to-date, “rent growth is seasonal, typically concentrated in the first two quarters,” meaning that “full-year 2025 growth is likely to be tepid,” the report states.

While the economy and job market remain strong, growth in these areas has slowed, and “the impact of tariff and immigration policies in the second half remains uncertain.”

June rent growth was strongest in the Midwest, including Chicago and Columbus, Ohio, and negative in many Sun Belt and Mountain West metros such as Austin, Texas and Denver.

Meanwhile, advertised rates for single family build-to-rent units rose 0.7% year-over-year in June, reaching $2,201, the first time advertised rents have surpassed $2,200.

Get more insight into supply, demand and demographics data affecting the multifamily and single-family build to rent sectors in the new Yardi Matrix National Multifamily Report for June 2025.

AUTHOR

Joel Nelson, senior marketing writer, joined Yardi in 2007. His byline has appeared in New York Real Estate Journal, Canadian Property Management and Los Angeles Lawyer, among others. He has won multiple awards from major professional organizations including the International Association of Business Communicators and Public Communicators of Los Angeles. Joel earned a bachelor’s degree from Pomona College.