Less is definitely more when it comes to apartment supply in the U.S. That's at least according to a new report that found the number of deliveries of new apartments in 1Q 2025 is finally heading downward, representing welcome news for multifamily landlords.
Even though supply in the first quarter of this year marked the eighth three-month period where completions were above the 100,000 mark, the 116,110 was well below the 159,000 delivered at the peak in 3Q 2024 and the 153,000 completed in 4Q 2024.
“It is clear the tide has turned as the pullback from the final few months of 2024 was considerable,” according to the report from RealPage Analytics. “After two consecutive quarters of falling completion volumes, it’s clear the U.S. is past its historic peak.”
Recommended For You
Every region of the U.S. saw deliveries fall in the first quarter. The highest levels continued to be in the South, where 64,700 units were completed. But the region still demonstrated the greatest pullback, with deliveries plummeting by 22,700 units compared to the last quarter of 2024.
A similar phenomenon occurred in the West, where the 28,200 units delivered were 7,600 fewer than in 3Q 2024. However, high levels of delivery, each exceeding 5,000 units, continued in Dallas, Phoenix, and Austin.
The 12,300 units delivered in the Midwest and the 11,000 completed in the Northeast were also lower than in previous quarters.
Altogether, the analysis suggests that quarterly apartment supply is past its peak and falling fast.
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
