Apartment Supply Volumes Fall Below Historic Records

After hitting historically high levels for 10 consecutive quarters, U.S. apartment supply fell back into a more normal range in 4th quarter.

Roughly 89,400 units wrapped up construction in 4th quarter 2025, marking the first time in 11 quarters that deliveries fell below the 100,000-unit mark. Quarterly completion volumes broke past 100,000 units in 2nd quarter 2023 for the first time since RealPage Market Analytics began tracking the U.S. apartment market in the 1990s. Delivery totals then increased for five straight quarters, peaking in 3rd quarter 2024 before ebbing in the last three months of 2024. The drop in quarterly deliveries in 2025 has been notably steep, though volumes did not fall below that 100,000-unit mark until the final quarter of the year.

All regions of the U.S. saw supply volumes ease in 4th quarter. The South region continued to deliver the most new apartments with roughly 47,500 units completed in 4th quarter. That was more than double the volume of units completed in the next most prolific region: the West (22,008 units). However, the South has also seen the steepest pullback in delivery volumes recently. Completions in the South peaked at nearly 91,800 units in 3rd quarter 2024 and volumes have fallen off every quarter since. The last three months of 2025 marked the first time South region completions totaled less than 50,000 units in 11 quarters.

The West region saw over 22,000 units deliver in 4th quarter 2025, which was about 3,700 units fewer than what came online in the region in 3rd quarter 2025. This region also peaked in 3rd quarter 2024 (over 37,200 units), and recent totals are well behind that mark.

Milder delivery volumes were seen in the Northeast (9,961 units) and Midwest (9,918 units) during 4th quarter 2025.

Markets seeing the most new deliveries in 4th quarter were Phoenix and New York, where completions were north of 6,000 units in the October to December time frame.