Current Multifamily Report: How 1.1 Million New Units, 6.5% Mortgage Rates, And 33% Higher Homebuying Costs Are Reshaping The Apartment Market Outlook For 2025 The numbers don’t lie. • 1.1 million new apartment units hit the market in 2023-2024 (largest supply surge since the 1980s) • New tariffs + construction labor shortages = MASSIVE barriers to new competition • With supply tapering off by year-end, operators are projecting 5%+ rent increases Those who made it through free rent and high concessions? They’re about to get paid. While mortgage rates stay high and home ownership remains out of reach for many, the renter pool keeps growing. We’re nearing the end of the oversupply era. And just like every other cycle— the weak hands exit. The strong hands raise rents. If you’ve been sitting on rent increases… It may be time to dust off that pro forma and revise it up. Full WSJ article in comments