By the end of the year, an estimated 506,353 multifamily units are expected to be opened across the U.S. This is below last year's record-breaking numbers (640,000 new units) but is still higher than annual averages since 2015, according to the latest RentCafe report.
The majority of new units are being developed in the South, with over half (265,613 units) of all new apartments built this year coming from the region. Major metropolitan areas like Dallas, Austin, and Houston are leading the charge.
However, for the fourth consecutive year, New York, N.Y., leads the nation with over 30,000 new units set to open this year.
Top 10 U.S. Metros for New Apartments in 2025
- New York, N.Y. (30,023 units)
- Dallas, Texas (28,958 units)
- Austin, Texas (26,715 units)
- Phoenix, Ariz. (21,188 units)
- Atlanta, Ga. (17,512 units)
- Charlotte, N.C. (16,995 units)
- Miami, Fla. (15,666 units)
- Houston, Texas (14,439 units)
- Washington, D.C. (13,903 units)
- Denver, Colo. (12,662 units)
Chicago has seen the "steepest drop in new apartment construction in one year," according to the report. The city is expected to have just 3,756 new units this year (a 60% decrease year-over-year).
Madison, Wis., falls not too far behind with a 59% decrease YOY, followed by Minneapolis (–57%), Portland, Ore. (–54%), and San Francisco (–51%).
