South Dominates for Build-to-Rent with Nearly 42,000 Units Underway

Photo of Carissa Brown, Real Estate Writer
by   Carissa Brown
  Posted   February 23, 2026
  in   Build-to-Rent Updates

Activity across the build-to-rent (BTR) sector remains active in 2026. Roughly 68,700 BTR units were under construction as of early February, with those units scheduled to complete over the next 36 months, according to RealPage Market Analytics.

BTR, as RealPage defines it, includes single-family housing that is fully detached, semi-detached (semi-attached, side-by-side), row houses, duplexes, quadruplexes and townhouses built for rental. BTR ranks as one of the fastest-growing rental segments in the multifamily space and is finding its footing in an economic environment where the affordability gap between owning and renting continues to widen. Further, BTR expands available rental options for renters seeking some of the benefits of single-family ownership.

With less urban sprawl but high population growth, the Sun Belt – an economically significant region that includes some South and West region markets – continues its streak as the BTR industry’s market leader. Nearly 55,000 BTR units were underway (including properties in lease-up where construction is ongoing) in the Sun Belt as of early February.

The South region garners the lion’s share of the nationwide development total with about 41,700 BTR units under construction. Those units are projected to complete by the end of 2028.

Pie chart showing Build-to-Rent units under construction across the U.S.

Just under 16,100 BTR units are underway in the West, about 23% of the U.S. total. Meanwhile, the Midwest has about 9,100 BTR units under construction followed by the Northeast (1,760 BTR units), accounting for roughly 13% and 3%, respectively.

Nationwide, about 60% of BTR construction is centered across 18 markets. Roughly 100 other markets account for the remaining 40% of construction.

Phoenix, an ongoing market leader, outshines the next closest market with over 9,000 BTR units in progress, or about 13% of the BTR construction pipeline. Dallas follows with roughly 5,900 BTR units advancing. Next, developers in Atlanta have some 3,700 units underway.

Rounding out the top 10 markets for BTR construction, contenders include Charlotte (2,800 units), Houston (2,600 units), Raleigh/Durham (2,000 units), Nashville (2,000 units), Tampa (1,900 units), Fort Worth (1,700 units) and San Antonio (1,700 units).

Another 22 markets across the U.S. have 500 or more units under construction. Of note, eight markets in that group have 1,000 or more units in development, led by Austin (1,500 units). The smaller markets of Huntsville, AL, North Port and Indianapolis each offer up another 1,400 units in development. Meanwhile, Kansas City, Los Angeles, Orlando, Savannah and Indianapolis account for 1,000 units to 1,300 units each.

From a submarket perspective, construction activity is concentrated heavily across the Sun Belt. Eight U.S. submarkets have 1,000 or more units under construction with three of those submarkets centered in the Phoenix market: Avondale/Goodyear/West Glendale (2,900 units), Pinal County (1,400 units) and Deer Valley (1,100 units).

Table showing top submarkets for Build-to-Rent construciton.

Meanwhile, Southeast Raleigh (1,500 units); two Dallas submarkets (Denton, 1,400 units and Allen/McKinney, 1,300 units); Bradenton (1,200 units); and North Savannah (1,100 units) close out this group.  

Though down from previous highs, RealPage is still tracking about 8,600 planned BTR units across the U.S. on top of units in early planning stages. That pipeline indicates this sector of single-family rentals remains a relevant sector today and into the future.

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