Demand Outpaced Supply in These Markets in 2Q23
Among the nation’s largest 50 apartment markets, only 14 saw apartment demand outpace supply in 2023’s 2nd quarter. The U.S. overall absorbed over 83,400 units in the April to June time frame, according to data from RealPage Market Analytics, but that pace was not enough to keep up with significant new completion volumes of over 107,400 units. Most apartment markets in the top 50 followed that trend, garnering at least some demand in 2nd quarter, but not enough to keep up with elevated supply volumes. Among those that bucked this trend, seeing absorption outpace supply, Chicago was the clear leader nationwide. This Midwest market saw demand for over 4,000 units topping completions by nearly 1,600 units. Markets with demand exceeding supply by about 500 units include Virginia Beach, San Diego and Milwaukee. In some of the markets on this list, 2nd quarter demand volumes were significant, accounting for big chunks of annual absorption.