Concession Use Slips in Three U.S. Regions as the Midwest Ticks Up

Concession use eased in three of the four U.S. regions in September 2026, led by the South, while the Midwest was the one region where use rose.

Nationally, concessions were offered on 14.5% of stabilized units, down 0.9 points from August 2026 for a fourth straight monthly decline, according to data from Realpage Market Analytics.

The South recorded the steepest regional decline, down 1.4 points to 19.1%. Despite the recent decline, that is still the highest concession use of the four regions. The West followed, down 0.9 points to 13%. The Northeast slipped 0.3 points to 10.4%. The Midwest moved the other way, rising 0.2 points to 8.8%. Still, the Midwest remains the region with the lowest use.

Declines were widespread within the South and West, with use falling in roughly three of every four markets in each.

Large markets with the highest concession use

Among the 50 largest markets, Austin led for concession use at 33.1%, followed by San Antonio at 31.7% and Denver at 30.3%. Charlotte was the only market on the list to post an increase, up 0.4 points. Fort Worth dropped from fourth to seventh as use there fell 3.4 points, while Las Vegas entered the group and Jacksonville dropped out. Overall, the entry threshold for the top 10 list fell to 21.2% from 22.3%, while average use across the group dropped to 25.8% from 27.3%.

The deepest declines among the 50 largest markets were concentrated in Texas and Florida. Across Texas, the five markets in the top 50 posted an average decline of 2.2 percentage points, compared to just 0.5 points for the other 45 markets. Florida also saw notable pullbacks, with use falling 5.4 points to 15.4% in Orlando and 3.2 points to 12.5% in Miami. More broadly, concession use declined in 14 of the state's 17 markets.

Where discounts run deepest

Discount size held steady or increased in every region. The South and Midwest posted the largest increases, each up 0.2 points, to 11.8% and 8.5%. The West increased modestly to 11.5%, while the Northeast was unchanged at 9.5%.

Looking at discount depth rather than concession use highlights a different set of markets. Among the 50 largest markets, Austin posted the deepest average discount at 15.1%, followed by Denver at 14.8% and Phoenix at 14.6%.

Use shows how broadly operators are deploying concessions, while average discount reflects how aggressively they are competing where incentives remain in place. September's results point to a market where concession use is becoming less widespread. At the same time, discount depth held steady or increased in many areas, suggesting operators continue to rely on meaningful incentives where leasing conditions remain competitive. Whether future months bring further declines in use, shallower discounts, or both will provide a clearer signal of how quickly pricing power is returning.