Multifamily Rent Growth Update: February 2026

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This analysis explores multifamily rent growth trends across the US using the Zillow Observed Rent Index (ZORI). All figures are seasonally adjusted and updated through February 2026.

National Rent Growth Trends

Multifamily rent growth continued to decelerate in early 2026, with year-over-year gains easing further even as rents remained modestly positive on a monthly basis.

National rents rose 1.2% year-over-year in February, down from 1.4% in January and 1.6% in December, marking a continued slowdown from the modest reacceleration observed in late 2024. While rent growth remains positive, the trend has clearly softened, reflecting ongoing supply pressures and a normalization in demand following the post-pandemic surge.

Short-term momentum has also weakened considerably. Rents have now increased on a monthly basis for 32 consecutive months, but the pace of those gains has slowed sharply. The annualized monthly growth rate registered just 0.2% in February, up slightly from 0.1% in January, underscoring how close the market is to flatlining in the near term.

The breadth of rent increases tells a similar story. In February, 64.8% of metros recorded month-over-month rent growth, a slight decline from 65.1% in January and well below levels observed earlier in the cycle. Meanwhile, 86.6% of metros posted year-over-year rent gains, up modestly from 85.3% in the prior month but still meaningfully below the near-universal growth seen during 2021 and early 2022.

Overall, the rental market has avoided outright contraction but remains in a period of minimal growth, characterized by slowing annual gains, narrower breadth, and limited short-term momentum. Even so, several forward-looking indicators suggest that conditions may be stabilizing. Absorption appears to be leveling off following a period of historically weak lease-up rates, indicating that demand is gradually catching up to elevated levels of new supply.

The supply outlook is also shifting. Multifamily construction pipelines are beginning to rebalance, with fewer new deliveries expected later this year. As supply pressures ease and absorption improves, the market should begin to regain firmer footing. A sustained recovery in absorption will be a necessary precondition for any meaningful reacceleration in rent growth over the coming quarters.

Metro-Level Performance

Year-over-year performance continues to reflect persistent softness across several Florida and Texas markets, while select Midwest and coastal metros remain comparatively firm.

Top 5 Markets for Annual Multifamily Rent Growth in February 2026

Virginia Beach, VA: +5.9%

San Francisco, CA: +5.9%

Chicago, IL: +5.4%

San Jose, CA: +4.9%

Albany, NY: +4.6%

Bottom 5 Markets for Annual Multifamily Rent Growth in February 2026

North Port, FL: −5.3%

Cape Coral, FL: −5.0%

Austin, TX: −3.6%

Tampa, FL: −3.0%

San Antonio, TX: −2.8%

Short-term rent momentum remained subdued in February, with gains concentrated in a narrower set of markets and several metros continuing to post outright monthly declines.

Top 5 Markets for Monthly Multifamily Rent Growth in February 2026

Winston, NC: +0.9%

Cleveland, OH: +0.9%

Wichita, KS: +0.7%

Little Rock, AR: +0.7%

San Francisco, CA: +0.6%

Bottom 5 Markets for Monthly Multifamily Rent Growth in February 2026

North Port, FL: −0.9%

El Paso, TX: −0.8%

Augusta, GA: −0.6%

Lakeland, FL: −0.5%

San Antonio, TX: −0.5%

The Bottom Line

The February data reinforce the ongoing normalization of multifamily rent growth. National rent gains continued to slow on an annual basis, though a broad majority of markets remain positive year over year. At the same time, month-over-month momentum has softened, with a smaller share of metros posting rent increases and a growing number experiencing flat or declining rents.

Performance remains uneven across markets. Persistent weakness in several high-supply Sun Belt metros — particularly in Florida and Texas — continues to weigh on national trends, while parts of the Midwest and select coastal markets are maintaining relatively firmer rent growth.

Even so, conditions appear to be stabilizing. Absorption is no longer deteriorating meaningfully, and the supply pipeline is beginning to rebalance. Together, these shifts should help limit further downside and create the conditions for a gradual improvement in rent growth momentum over the course of the year.

Appendix: Data Table