A key factor in the performance of the U.S. apartment sector over the past two years has been the large number of new units added to supply, an increase that far outpaced demand — particularly in the South, Southwest and Mountain West regions. This imbalance has resulted in elevated vacancy rates and falling rents.
Sun Belt and Mountain West regions lead nation in drawing down apartment supply
Construction declines are projected to accelerate further in 2026, allowing occupancy to catch up
CoStar Analytics
November 7, 2025 | 1:58 P.M.
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