Apartment rents across the nation are growing, but at a sluggish pace, with the sector is struggling to recapture the strong rent growth that apartment owners and investors enjoyed before a historic wave of new supply hit the market.
According to Yardi Matrix’s April 2026 Multifamily National Report, average U.S. multifamily advertised rents rose by $4 in April to $1,758. That marked the second consecutive month of rent growth after winter declines. But the gains remain modest: National rents were still down 0.2% on a year-over-year basis, according to Yardi Matrix’s research.
Yardi Matrix reported that advertised rents have increased just 0.4% year-to-date through April, about one-third of the average growth pace seen between 2012 and 2019. The biggest reason for this? Too many new apartment units have hit the market in recent years.
A large number of newly completed apartment communities are still working through lease-up periods, particularly in fast-growing Sun Belt and Mountain West markets. At the same time, demand has softened as population growth moderates and consumers remain cautious amid economic uncertainty.
Several high-supply markets continued to post weak annual rent growth in April. Austin, Texas, led the declines with year-over-year rent growth of negative 4.3%, followed by Denver at negative 3.6%, Tampa at negative 3.4% and Phoenix at negative 2.7%, according to the report.
At the same time, though, Yardi Matrix noted that some previously struggling metros are beginning to show early signs of stabilization. Markets such as Miami, Phoenix, Raleigh, Denver, Nashville and Dallas all posted positive month-over-month rent growth in April, even though their annual numbers remained negative.
Gateway and Midwest markets continued to outperform much of the country. New York City led the nation with 4.8% year-over-year rent growth in April, followed by San Francisco at 4.1% and Chicago at 3.3%, according to Yardi Matrix.
The Twin Cities market — Minneapolis-St. Paul — also stood out nationally. Yardi Matrix reported that the Twin Cities recorded 2.4% year-over-year rent growth in April, placing the market among the country’s top-performing multifamily metros. The market also posted 0.7% month-over-month rent growth in April.
The report forecast even stronger gains ahead for Minneapolis-St. Paul. Yardi Matrix projected year-end 2026 rent growth of 4.7% for the Twin Cities, one of the highest forecasts among major U.S. markets.
The Twin Cities also benefited from relatively restrained new supply compared to some Sun Belt competitors. Yardi Matrix reported that trailing-12-month apartment completions in the Minneapolis-St. Paul market equaled 1.2% of total apartment stock, far below markets such as Austin and Charlotte, where new completions equaled 6.7% of inventory.
National occupancy levels have also remained relatively stable despite the flood of new supply. Yardi Matrix reported that the national multifamily occupancy rate stood at 94.2% in March, though that figure was down 0.5% year-over-year.
The report said economic headwinds continue to pressure renter households. Yardi Matrix pointed to weakening consumer confidence, soft job growth and higher energy prices as factors weighing on apartment demand. The firm also noted rising delinquency rates for consumer debt, particularly among lower-income households.
Despite those challenges, Yardi Matrix said opportunities remain for apartment investors and owners. The report suggested that investors may find opportunities in distressed apartment assets as higher interest rates continue to pressure owners with underwater loans. It also advised apartment operators to focus on expense reductions and operational efficiencies as revenue growth slows.
Yardi Matrix forecasts that nearly 480,000 rental units will be delivered nationally in 2026, followed by about 450,000 units annually in the years after that.
