Two Robust Multifamily Markets Illustrate New Realities

Florida and Atlanta spotlight how new supply pushes down rent growth.

By Barbara Ballinger | September 19, 2023 at 07:42 AM

RealPage took a recent look at the two once strong markets of Florida and Atlanta and compared their year-over-year effective asking rent growth as of August 2023 and year-over-year inventory growth for the year. Here is what it found, namely lots of new inventory and not enough apartment takers so downward pressure on rents has emerged. But this trend is not yet happening in all other markets.

Florida ranked for this study at the end of the second quarter as the third-fastest growing area at 3%, following the Carolinas at 3.6%, the Mountains/Dessert at 3.2% and ahead of the Southeast at 2.6%. But all those new apartments mean pressure on rent growth, which was down in August by 0.7% for Florida, versus -0.5% for the Carolinas, -2.1% in the Mountains/Desert and the Southeast at -0.2%.

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