Apartment Markets with the Worst Supply/Demand Imbalances

The first three months of 2024 captured very strong apartment demand across the U.S. and most major markets. Still, sky-high supply continued to mute performance across the board. Among the nation’s largest apartment markets, nine posted particularly steep imbalances of supply and demand, according to data from RealPage Market Analytics. In New York – the nation’s largest apartment market by a wide margin – quarterly apartment supply of nearly 2,500 units met concurrent net move-outs for over 2,000 units, resulting in an imbalance of nearly 4,500 units. Los Angeles and San Diego also posted net move-outs in 1st quarter 2024. Newark posted mild demand in 1st quarter, while concurrent new supply topped 2,200 units. Meanwhile, nation-leading demand was found in three Texas markets – Dallas, Austin and Houston. Still, strong demand failed to meet even bigger quarterly supply in the Lone Star State. Minneapolis and Fort Worth, meanwhile, posted respectable quarterly absorption that still failed to put a dent in occupancy, thanks to high supply.