Multifamily rent growth increased for the third consecutive month in May, albeit at a slower pace, according to the latest Yardi Matrix report.
Despite the ongoing market turmoil, the average asking rent in the US was up $7 last month to $1,716. However, rent growth slowed to 2.6% year over year, the lowest level since March 2021. For the year to date, rents have risen $18, or 1%, since January. Yardi noted that the seasonal growth trend is not far off a typical pre-pandemic year, although the rate of increase is lower.
“While performance displays resilience, the data is not unambiguously positive as it has been for most of the last two years,” the report read. “Rent growth has turned negative year-over-year in several metros as occupancy rates weaken amid slackening demand and rapid growth in new deliveries.”