Despite facing numerous challenges during the past year, the multifamily industry had a standout year, benefiting from household confidence driven by lower inflation, solid employment rates, higher wages and a more accommodating Federal Reserve. Nearly 667,000 apartment units were absorbed during 2024, exceeding expectations for the sector, according to a RealPage analysis.

However, slower demand is expected during the coming year due to smaller-than-anticipated employment growth along with fiscal and monetary policy uncertainty. RealPage expects demand for new apartments to drop by more than 25% this year, although it still expects ‘decent’ absorption.


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