Multifamily Rent Growth Update: July 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 smoothed. Data are updated through June 2026.

National Rent Growth Trends

National multifamily rent growth accelerated in June, marking the strongest annual pace of 2026 and the fastest month-over-month growth since 2023.

National multifamily rents increased 1.4% year over year in June, up from 1.2% in May and the strongest annual reading so far this year. While rent growth remains well below the pace seen earlier in the cycle, the recent acceleration suggests that market conditions are continuing to firm after an extended cooling period.

Short-term momentum strengthened even more noticeably. On an annualized basis, month-over-month rent growth accelerated to 2.8%, up from 2.2% in May and the strongest monthly pace since March 2023. Although one month does not establish a trend, the recent improvement is consistent with other indicators suggesting that apartment fundamentals have continued to rebalance over recent quarters.

Market breadth improved alongside headline rent growth. In June, 71.5% of US metro areas recorded month-over-month rent increases, up from 69.5% in May and the highest share since September 2025. Meanwhile, 88.1% of metros posted annual rent gains, up from 86.3% the prior month and the highest share since February 2025. Together, these measures suggest that rent growth is broadening across markets rather than relying on an increasingly narrow group of outperformers.

Overall, the June data point to a rental market that remains subdued but is showing clearer signs of improvement. Annual rent growth accelerated to its strongest pace of 2026, while short-term momentum reached its highest level since 2023 and market breadth strengthened further. Although conditions remain highly uneven across metros, the national market appears to be gradually rebalancing as a larger share of markets participates in rent growth.

Metro-Level Performance

Performance remained highly localized in June, though the composition of market leaders

continued to favor Northern California, the Northeast, and portions of the Midwest.

San Francisco posted the nation's strongest annual rent growth at 8.5%, followed by Urban Honolulu (6.4%), Akron (6.2%), San Jose (6.2%), and Toledo (5.5%). Several additional markets—including Virginia Beach, Boise, Wichita, Chicago, and Albany—also recorded annual rent growth exceeding 4.5%.

Top 5 Markets for Annual Multifamily Rent Growth through June 2026

San Francisco, CA: +8.5%

Urban Honolulu, HI: +6.4%

Akron, OH: +6.2%

San Jose, CA: +6.2%

Toledo, OH: +5.5%

Bottom 5 Markets for Annual Multifamily Rent Growth through June 2026

North Port, FL: −4.4%

Cape Coral, FL: −3.7%

San Antonio, TX: −3.5%

Austin, TX: −2.9%

Denver, CO: −2.5%

While many Sun Belt markets remained among the weakest annual performers, several continued to show signs of stabilization on a month-over-month basis. North Port (-4.4%), Cape Coral (-3.7%), San Antonio (-3.5%), Austin (-2.9%), and Denver (-2.5%) recorded the weakest annual growth in June, but several markets that have faced elevated supply pressure—including Dallas, Houston, Orlando, Tampa, and Jacksonville—posted flat or positive monthly rent growth.

Monthly momentum was strongest in San Francisco (+1.3%), San Jose (+0.9%), Boise (+0.8%), Akron (+0.7%), and Spokane (+0.6%), underscoring that many of the strongest annual performers continue to build momentum rather than merely benefiting from favorable base effects.

Top 5 Markets for Monthly Multifamily Rent Growth through June 2026

San Francisco, CA: +1.3%

San Jose, CA: +0.9%

Boise City, ID: +0.8%

Akron, OH: +0.7%

Spokane, WA: +0.6%

Bottom 5 Markets for Monthly Multifamily Rent Growth through June 2026

San Antonio, TX: −0.4%

Winston, NC: −0.4%

Bakersfield, CA: −0.4%

Ogden, UT: −0.3%

Palm Bay, FL: −0.3%

Taken together, the annual and monthly rankings suggest that the regional divide that has characterized the apartment market over the past year remains firmly in place. Strong rent growth continues across portions of the Midwest and Northeast, while several Florida and Texas metros remain under pressure from elevated supply levels. Coastal California has also continued to outperform, led by San Francisco and San Jose, where rents have benefited from stronger demand conditions and comparatively less supply pressure than many Sun Belt markets.

The Bottom Line

The national apartment market appears to be gradually rebalancing. Rent growth remains modest by historical standards, but both the pace of rent growth and the share of markets posting gains strengthened in June. The market remains highly localized and supply-sensitive, yet the latest data suggest that softness is no longer broadening nationally.

More markets are beginning to participate in rent growth as the apartment sector continues to work through the supply wave that defined much of the past two years. Even so, a fuller recovery will depend on continued absorption improvement and further normalization in the supply pipeline.

Appendix: Data Table