Apartment Permitting in Southeast Drops from Recent Highs

Apartment completions in the Southeast region of the U.S. hit a record high in 2024, but multifamily permit totals suggest fewer additions moving forward. In 2024, a record high of around 50,000 new apartments delivered in the Southeast, which was a 22% jump from 2023’s completion tally, which was also a record at the time. These peak deliveries weren’t just located in major apartment markets across the region, such as Atlanta and Nashville, but also filtered into smaller markets like Huntsville and Memphis. However, peak supply may be a thing of the past, as evidenced by permit volumes. Multifamily permits act as a forerunner to apartment deliveries, as developers filing applications today will typically break ground within a few months. It’s important to note, then, that permit volumes in Southeast markets have been declining since the peak in 2023. In calendar 2024, just over 24,000 multifamily permits were issued, translating to a 25% drop from the 2023 volume and a 15% decline from 2022 levels. To be fair, calendar 2024 permit volumes were still ahead of historical norms for the Southeast, but the steady decline is a clear indication that the peak supply from 2024 is not scheduled to repeat in 2025.

For more information on the state of the Southeast region apartment markets, including forecasts, watch the webcast Market Intelligence: Q1 Southeast Update & 2025 Outlook.