Apartment Rent Growth Slows to 0.8% as Vacancy Reaches 7.8%

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Apartment rent growth slowed again in September as elevated vacancy and continued competition for tenants kept national pricing power weak heading into the final quarter of 2026.

National multifamily rents increased 0.8% from a year earlier in September, according to Apartments.com’s latest national rent report. The average asking rent was $1,665 for a one-bedroom apartment and $1,932 for a two-bedroom.

National vacancy reached 7.8%, reflecting the lingering effect of the large apartment construction pipeline delivered over the past several years.

Supply is still setting the tone

The national number masks significant differences among markets. Areas that absorbed large volumes of newly built apartments have generally faced more competition among landlords, while markets with tighter supply have been better positioned to sustain rent growth.

That divide matters for multifamily owners and lenders because even modest changes in effective rent and occupancy can affect net operating income, debt-service coverage and property valuations.

September’s 0.8% annual increase shows rents are still rising nationally, but at a restrained pace. For tenants, that is a markedly different environment from the rapid rent escalation earlier in the decade. For property owners, it means revenue growth cannot be assumed to offset higher insurance, taxes, payroll and financing costs.

Vacancy remains the pressure point

A 7.8% national vacancy rate gives renters more options and limits landlords’ ability to push asking rents aggressively. Concessions and other incentives can also make effective rents softer than advertised asking rents in highly competitive markets.

The supply cycle is not uniform, however. New construction has been concentrated in particular Sun Belt and high-growth metros, leaving other markets with substantially different vacancy and rent conditions.

The next phase of the apartment market will depend in part on how quickly the recent wave of new units is absorbed. Multifamily construction starts have already pulled back from their earlier highs, which should eventually slow additions to supply, but completed projects continue to enter lease-up in many markets.

For housing professionals, September’s report reinforces a market that remains fundamentally regional. The national rent figure is positive, but high vacancy means owners are still competing for tenants—and the balance between new supply and household formation will determine where rent growth strengthens first.