New National Data Hints at Possible Multifamily Momentum Pickup

Article originally posted on HERE on May 8, 2026

Recent federal data is giving mild indications the multifamily construction market may be inching toward a modest bounceback.

Discussing recently released data from the U.S. Department of Housing and Urban Development and the U.S. Census Bureau, RealPage Senior Real Estate Economist Chuck Ehmann said information suggests a slight improvement in multifamily permits since early last year.

Adding the months of February and March does not provide enough data to make a definitive projection, but multifamily starts seem to be accelerating at a faster rate than permits. March starts hit a seasonally adjusted annual rate of 446,000 units, a 13.5% month-over-month increase and a jump of 9.6% year-over-year.

Permit data showed 427,000 units, a 5.3% drop from February, but a 23.5% increase for the year.

Multifamily permitting fell sharply in the South, dropping 28.9% YoY for a total of 178,000 units. The Northeast was up 36.6%, with 49,000 units. The West increased to 126,000 units, up 24.9%, and the Midwest rose 15.3%, or 76,000 units.

Multifamily starts were up sharply, reporting a gain of 226,000 units for an increase of 39.1%.

The pipeline, however, continues to thin. Multifamily units under construction dropped to 659,000 in March, a fall of 12% from February and 1.5% YoY. (Source)