While the U.S. continues to maintain a steady pace of delivering new apartments, this year will be one for the record books. For the first time ever, new apartment completions will surpass the 500,000-unit threshold in 2024. By the end of the year, a staggering 518,108 units are expected to be completed, according to a recent RentCafe report.
This historic high marks a 9% increase in completed units compared to 2023, and a 30% rise from 2022. Overall, more than two million units are expected to be completed by 2028.
“The supply wave has brought 50-year high deliveries to certain metros … but the increased competition is slowing rent growth, especially in booming Sun Belt markets,” said Doug Ressler, Senior Analyst and Manager of Business Intelligence at Yardi Matrix.
Top Metros for New Apartments in 2024
New York, N.Y., and Dallas, Texas, nearly tie in terms of leading the U.S. in new apartment construction this year. New York is set to complete 32,935 units, with Dallas trailing behind by just three units (32,932). Austin, Texas, is third with 21,506 units.
It's no surprise that Texas markets are booming with new construction and population growth. Nearly 10% of all new apartments this year will come from these two Texas metros.
RELATED
- Top 10 trends in affordable housing
- National multifamily outlook: Summer 2024
- 10 hardest places to find an apartment in 2024
The report states that most of the apartments under construction—as well as those built in the last five years—are catered mostly to high-income renters with little focus on affordable options.
In the coming years, apartment deliveries are expected to slow. Developers are expected to deliver 15% less in 2025 (440,478 units), followed by 332,000 units in 2026 and a 10-year low of 319,000 units in 2026. A surge of deliveries isn't expected to happen until 2028.
Click here to read the full report.
Related Stories
MFPRO+ News | Dec 22, 2023
Document offers guidance on heat pump deployment for multifamily housing
ICAST (International Center for Appropriate and Sustainable Technology) has released a resource guide to help multifamily owners and managers, policymakers, utilities, energy efficiency program implementers, and others advance the deployment of VHE heat pump HVAC and water heaters in multifamily housing.
Giants 400 | Dec 20, 2023
Top 100 Apartment and Condominium Construction Firms for 2023
Clark Group, Suffolk Construction, Summit Contracting Group, and McShane Companies top BD+C's ranking of the nation's largest apartment building and condominium general contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Dec 20, 2023
Top 70 Apartment and Condominium Engineering Firms for 2023
Kimley-Horn, WSP, Tetra Tech, and Thornton Tomasetti head BD+C's ranking of the nation's largest apartment building and condominium engineering and engineering/architecture (EA) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Dec 20, 2023
Top 160 Apartment and Condominium Architecture Firms for 2023
Gensler, Humphreys and Partners, Solomon Cordwell Buenz, and AO top BD+C's ranking of the nation's largest apartment building and condominium architecture and architecture/engineering (AE) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Dec 20, 2023
Top 40 Student Housing Construction Firms for 2023
Findorff, Juneau Construction, JE Dunn Construction, and Weitz Company top BD+C's ranking of the nation's largest student housing facility general contractors and construction management (CM) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Dec 20, 2023
Top 30 Student Housing Engineering Firms for 2023
Kimley-Horn, Wiss, Janney, Elstner Associates, KPFF Consulting Engineers, and Olsson head BD+C's ranking of the nation's largest student housing facility engineering and engineering/architecture (EA) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
Giants 400 | Dec 20, 2023
Top 90 Student Housing Architecture Firms for 2023
Niles Bolton Associates, Solomon Cordwell Buenz, BKV Group, and Humphreys and Partners Architects top BD+C's ranking of the nation's largest student housing facility architecture and architecture/engineering (AE) firms for 2023, as reported in Building Design+Construction's 2023 Giants 400 Report.
MFPRO+ News | Dec 7, 2023
7 key predictions for the 2024 multifamily rental housing market
2024 will be the strongest year for new apartment construction in decades, says Apartment List's chief economist.
Student Housing | Dec 5, 2023
October had fastest start ever for student housing preleasing
The student housing market for the upcoming 2024-2025 leasing season has started sooner and faster than ever.
Industry Research | Nov 28, 2023
Migration trends find top 10 states Americans are moving to
In the StorageCafe analysis of the latest migration trends, each U.S. state was looked at to see the moving patterns of people in the last few years. These are the top 10 states that people are moving to.
