2024 has been an encouraging year for multifamily despite some continued challenges. Apartment demand took another step in the right direction after last year’s improvement and has now shown a sustained positive trajectory for the better part of two years. Average occupancy, thanks to the extremely active new construction pipeline, has remained unusually low. Even so, stabilized properties have managed to defend occupancy fairly well with a national average of 93% to end October.
With many markets still facing an imbalance between new supply and net absorption, even with the demand improvement, rent growth has not yet been able to recover to its long-term average. For most markets that have led the nation in rent growth over the last twelve months, the positive rent performance has been more to do with lower new supply applying less pressure to occupancy than to especially robust demand.
With that in mind, here are the market leaders in average effective rent growth for new leases over the last twelve months. Only conventional properties of at least fifty units are included. Additional complimentary market-level data can be found here. Happy Thanksgiving!
Top 10 Markets
| Market | Avg Effective Rent | 12-mo Change (%) |
|---|---|---|
| MO - Columbia | $1,052 | 9.2% |
| IL - Moline | $986 | 7.9% |
| WI - Green Bay - Appleton | $1,053 | 7.9% |
| HI - State of Hawaii | $2,372 | 7.1% |
| CT - Hartford | $1,879 | 6.9% |
| OH - Cleveland - Akron | $1,216 | 6.7% |
| IN - Evansville | $993 | 6.6% |
| ND - Bismarck | $1,153 | 6.4% |
| NY - Buffalo - Rochester | $1,382 | 6.3% |
| OK - Tulsa | $1,016 | 6.1% |
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Top 10 Primary Markets
| Market | Avg Effective Rent | 12-mo Change (%) |
|---|---|---|
| OH - Cleveland - Akron | $1,216 | 6.7% |
| MO - Kansas City | $1,343 | 4.6% |
| IN - Indianapolis | $1,286 | 4.5% |
| OH - Columbus | $1,332 | 4.2% |
| IL - Chicago | $2,014 | 4.2% |
| DC - Washington | $2,230 | 4.0% |
| OH - Cincinnati - Dayton | $1,314 | 4.0% |
| NY - New York City | $3,220 | 3.9% |
| MI - Detroit | $1,329 | 3.7% |
| MN - Minneapolis - St. Paul | $1,531 | 3.0% |
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