BOSTON–U.S. apartment rents slipped again in November as elevated supply and softening demand continued to pressure the multifamily market, according to a new report from Apartments.com, part of CoStar Group.
The national average rent fell to $1,706, a 0.18% decline from October’s revised figure of $1,709, marking the steepest November drop in more than 15 years—though a slight improvement from October’s -0.30% decline.
The monthly decrease represents the fifth consecutive month of flat or negative rent growth. On an annual basis, rent growth decelerated to 0.7%, down from 0.8% in October and well below the 1.5% pace seen at the start of 2025.
Seasonal Slowdown Persists, Supply Weighs on Momentum
While rents typically soften in late summer and fall, this year’s seasonal pattern has been more pronounced. Apartments.com noted that a moderating trend is emerging, but ongoing supply pressures continue to restrain the market’s recovery. Despite November’s dip, national rents remain slightly above year-ago levels.
The report emphasizes that the market has not entered a full downturn. Instead, rent growth remains in what the platform describes as a “delicate balance” moving into the fourth quarter.
All Regions See Declines
For the fourth straight month, every U.S. region recorded rent declines:
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West: -0.4%
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South: -0.2%
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Northeast: -0.1%
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Midwest: -0.01%
But on a yearly basis, performance diverged significantly. The Midwest led the nation with +2.2% annual growth, followed by the Northeast at +1.7%. The South saw rents slip 0.1% year-over-year, while the West posted a sizable -1.5% annual decline.
Most Metros See Soft Conditions, Led by Las Vegas Decline
Only seven metro areas posted positive rent growth in November.
Top performers included:
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Louisville: +0.1%
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Kansas City: +0.1%
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Norfolk: +0.1%
Meanwhile, several markets experienced sharp drops:
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Las Vegas: -0.8%
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San Antonio, Austin, Denver: -0.7%
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Salt Lake City, Raleigh, Portland (OR): -0.6%
Many of these Sun Belt and Mountain West markets continue to grapple with elevated vacancy rates and significant new supply, while Las Vegas and Portland face additional challenges from weakening employment.
Annual Leaders and Laggards
On an annual basis, San Francisco topped the list with 5.6% rent growth, followed by:
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San Jose: 3.6%
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Chicago: 3.4%
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Norfolk: 3.3%
Markets with the weakest annual performance were those struggling with oversupply:
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Austin: -4.7%
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Denver: -3.6%
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Phoenix: -3.2%
Oversupply Remains the Central Challenge
Apartments.com’s analysis underscores a clear pattern: metros with the most new construction are experiencing the sharpest rent declines, while supply-constrained markets—particularly in the Midwest and select coastal cities—continue to outperform. Softening demand is also playing a role in some areas, especially where major employers have announced layoffs or where local economic growth has slowed.
While many markets have moved past the peak of the construction cycle, a significant inventory overhang remains. According to the report, this surplus will continue to weigh on rent growth through the coming months, keeping national trends subdued even as seasonal pressures ease.
