US Multifamily Built-for-Rent Housing Starts Increase in Q3

According to data from the US Census Bureau, with analysis by the National Association of Home Builders (NAHB), multifamily housing starts intended for rental use increased during 2025Q3.

Construction started on 119,000 multifamily residences in Q3. Of that total, 114,000 units were built for rent, up 31% from 2024Q3. NAHB cautioned that these figures could be revised lower in future Census releases, consistent with patterns seen in other multifamily data.

Rental units accounted for 95% of multifamily construction starts in Q3. By comparison, the market share of built-for-rent multifamily construction fell to a historical low of 47% in 2005Q3 during the condo building boom, while the average share during the 1980–2002 period was 80%. In Q3, multifamily condominium starts totaled just 5,000 units, down from a year earlier.

NAHB said the elevated rental share of multifamily construction continues to weigh on unit sizes. In Q3, the average size of multifamily units under construction declined to 1,052 square feet, while the median size fell to 1,006 square feet.