The multifamily sector is poised for a brighter 2025, with rents and construction costs expected to rise despite ongoing economic challenges. According to a recent report from Origin Investments, a combination of strong demand, supply constraints, and evolving financial strategies points to a promising year ahead for multifamily investors.

After two years of rising inflation and interest rates, the multifamily market is beginning to turn the corner. Origin co-CEO David Scherer projects substantial year-over-year rent growth in the latter half of 2025. This growth will be driven by a widening supply-demand imbalance, particularly in high-performing markets like Miami, Seattle, New York, and Los Angeles.

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