Apartment Rent Growth Ticks Upward

(Photo credit: Mike Sorohan)

Apartment rent growth remained positive in July despite slowing summer leasing-season momentum, a new report from Apartments.com found.

The firm’s Multifamily Rent Growth Report said apartment rents rose 0.03% during July to $1,747. “This marks the eighth consecutive month of positive rent increases following a period of flat to declining monthly performance in the second half of 2025,” Apartments.com said. “On an annual basis, rent growth accelerated to 1.0% in July 2026 from the upwardly revised 0.9% in June.”

While apartment rent growth typically slows as the market moves further into the summer leasing season, July’s gains were particularly subdued, the firm noted. Following modest rent increases during the spring, July’s 0.03% increase represents a notable slowdown in monthly pricing momentum. “While annual rent growth continues to improve gradually, elevated supply levels continue to restrain pricing momentum nationally,” the report said.

Regional rent growth was mixed in July. The Pacific region led on a monthly basis with a 0.05% increase, followed by the Northeast at 0.03% and the South at 0.02%. Rents were essentially flat in the Midwest and declined 0.03% in the Mountain region.

“On an annual basis, regional performance remained uneven,” the report said. The Midwest recorded the strongest year-over-year rent growth at 2.0%, followed by the Pacific at 1.8% and the Northeast at 1.6%. In contrast, rents declined year over year in the South by 0.4% and in the Mountain region by 1.0%.

“Regionally, rent growth remains positive across much of the country, though year-over-year performance continues to vary widely and remains closely tied to local supply conditions,” Apartments.com said. “While most markets have moved past peak construction activity, a substantial, though gradually easing, inventory overhang continues to weigh on rent growth nationally as the summer leasing season progresses.”