Apartments.com Releases Multifamily Rent Growth Report for November 2025

Key Terms

multifamily technical

Multifamily describes residential properties that contain multiple separate living units under one ownership, such as apartment buildings, duplexes, triplexes or condo complexes. Investors care because a single property can produce income from many tenants at once, smoothing cash flow much like a small rental fleet rather than one standalone house, and offering scale benefits, diversified tenant risk, and sensitivity to rental market trends that affect returns and asset value.

oversupply technical

Oversupply is when the amount of a product, service, commodity or financial instrument available on the market is consistently greater than what buyers want, putting sustained downward pressure on prices. Like a town with more umbrellas than people after the rain stops, oversupply matters to investors because it can shrink sales and profit margins, force inventory write-downs or discounts, and hurt the value of companies tied to that market — though it can also create buying opportunities if prices recover.

inventory overhang technical

An inventory overhang is when a company has more unsold goods on hand than customers are buying, like a closet full of clothes you can’t sell. It matters to investors because excess stock ties up cash, can force price cuts or discounts, slow future production, and signal weakening demand — all of which can reduce profit and pressure a company’s short-term and long-term financial performance.

National rent growth improved, but remains negative

ARLINGTON, Va.--(BUSINESS WIRE)-- Today Apartments.com, an industry-leading online marketplace of CoStar Group (NASDAQ: CSGP), published its latest report on multifamily rent trends for November 2025.

National rent growth improved in November, but is still negative

U.S. apartment rents declined in November, with the national average falling to $1,706 — a 0.18% decrease from October’s downwardly revised figure of $1,709. This marks the fifth consecutive month of flat or negative monthly rent change and the steepest November decline in over 15 years, though moderating from October’s decline of -0.30%. Annual rent growth slowed further to 0.7%, down from 0.8% in October and 1.5% at the start of the year.

Apartment rent growth typically follows a seasonal pattern, with acceleration in the spring and a slowdown in late summer and fall. The seasonal trends have been more severe this year, but a moderating trend appears to now be underway. Yet although the national average rent in November remains above levels from a year ago, elevated supply pressures continue to weigh on rent growth momentum. While the market hasn’t entered a widespread downturn, the November data highlights the delicate balance of rent growth in the fourth quarter.

All regions posted rent declines in November for the fourth consecutive month. The West led with a -0.4% month-over-month drop, followed by the South, down -0.2%, the Northeast, down -0.1%, and the Midwest, down -0.01%. On an annual basis, the Midwest posted the strongest performance with +2.2% growth, followed by the Northeast at +1.7%. The South’s rents declined 0.1% year-over-year, while the West declined -1.5%.

Metro-level performance was soft across the US, with just seven markets posting positive rent change. Rent growth leaders were Louisville, Kansas City and Norfolk, each posting gains of +0.1%.

The steepest monthly declines occurred in Las Vegas, down -0.8%, followed by San Antonio, Austin and Denver, each at -0.7%. Salt Lake City, Raleigh and Portland, OR, each posted monthly declines of -0.6%. These Mountain West and Sun Belt markets continue to face elevated vacancy amid aggressive new supply, putting downward pressure on rents. Las Vegas and Portland face additional demand headwinds from falling employment.

San Francisco leads the nation with 5.6% annual rent growth, followed by San Jose at 3.6%, Chicago at 3.4%, and Norfolk at 3.3%. In contrast, Austin rents declined -4.7%, Denver -3.6%, and Phoenix fell -3.2%, all driven lower by oversupply outpacing demand.

These patterns reinforce the broader trends: markets with the highest levels of new construction are seeing the weakest rent performance, while more supply-constrained metros — particularly in the Midwest and select coastal areas — continue to outperform. In select markets, however, softening demand may also be contributing to weaker rent growth, particularly where major employers have announced layoffs or where economic momentum has slowed.

While many markets have moved past peak supply, a substantial inventory overhang continues to weigh on rent growth across the country.

About CoStar Group
CoStar Group (NASDAQ: CSGP) is a global leader in commercial real estate information, analytics, online marketplaces, and 3D digital twin technology. Founded in 1986, CoStar Group is dedicated to digitizing the world’s real estate, empowering all people to discover properties, insights, and connections that improve their businesses and lives.

CoStar Group’s major brands include CoStar, a leading global provider of commercial real estate data, analytics, and news; LoopNet, the most trafficked commercial real estate marketplace; Apartments.com, the leading platform for apartment rentals; Homes.com, the fastest-growing residential real estate marketplace; and Domain, one of Australia’s leading property marketplaces. CoStar Group’s industry-leading brands also include Matterport, a leading spatial data company whose platform turns buildings into data to make every space more valuable and accessible, STR, a global leader in hospitality data and benchmarking; Ten-X, an online platform for commercial real estate auctions and negotiated bids; and OnTheMarket, a leading residential property portal in the United Kingdom.

CoStar Group’s websites attracted over 143 million average monthly unique visitors in the third quarter of 2025, serving clients around the world. Headquartered in Arlington, Virginia, CoStar Group is committed to transforming the real estate industry through innovative technology and comprehensive market intelligence. From time to time, we plan to utilize our corporate website as a channel of distribution for material company information. For more information, visit CoStarGroup.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20251208731986/en/

Media Contact:

Matthew Blocher

Vice President, Corporate Marketing & Communications

CoStar Group

(202) 346-6775

mblocher@costar.com

Source: CoStar Group