Single-family rents also fell for the second straight month, down $4
SANTA BARBARA, Calif., Oct. 11, 2023 – U.S. multifamily asking rents reacted to the pressure of a slowing economy and a heavy delivery pipeline in some markets, dipping by an average of $6 September, according to the latest Yardi® Matrix National Multifamily Report.
The average U.S. asking rent fell $6 to $1,722 during the month, while year-over-year growth was down 60 basis points from August.
Last month marked the first time since the global financial crisis in 2009 when national rents decreased in September. Year-over-year growth fell to 0.8 percent, the lowest number since the pandemic recovery in early 2021.
“Consumers are losing some strength as the post-pandemic boom in household savings dwindles, while millions of households will have to less to spend as they resume paying student loans. Energy prices are rising, and even large-scale strikes could have some impact if they continue at length. Meanwhile, higher interest rates are working their way through the economy,” states the report.
Single-family rents fell for the second straight month, down $4 nationally to $2,104. Year-over-year growth fell 10 basis points to 0.4 percent. Occupancy rates were unchanged at 95.9 percent, a sign that demand continues to be robust.
Market performance remains bifurcated, as the Top 30 rankings are dominated by metros in the Northeast and Midwest. Most of the 14 metros with negative year-over-year growth are located in the Sunbelt or West.
Gain more insight in the new Yardi Matrix National Multifamily Report.
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