Rents Pick Up, Occupancy Plateaus
Houston multifamily fundamentals were mixed at the start of summer, according to the latest Houston multifamily market report. Rents rebounded and the employment market was solid, yet occupancy remained low and investment activity was tepid. Average advertised asking rents were up 0.2%, on a trailing three-month basis through May, to $1,371. Although unchanged year-over-year, the occupancy rate in stabilized properties was low, at 92.6% as of April.
Employment marked a 1.3% gain as of March, leading the 0.9% U.S. rate, as reported in the national multifamily report. The market gained 36,300 net jobs over 12 months. Three sectors accounted for 80% of new jobs: education and health services (10,600 jobs), government (9,400 jobs) and trade, transportation and utilities (8,900 jobs). Meanwhile, information and professional and business services lost 5,600 jobs combined. The metro’s unemployment rate stood at 3.9% in April, leading the state (4.1%) and the U.S. (4.2%), but trailing all other major Texas metros. Notable developments across Houston include Apple’s 250,000-square-foot server manufacturing facility, slated to open in 2026, and BioHub Two, a 45-acre biomanufacturing campus that’s part of the 4,300-acre Generation Park.
Developers delivered 5,224 units and had another 25,981 underway as of May, while starts fell closer to historical averages. Investment was low, reaching only $585 million in 2025 through May. The average price per unit was virtually flat year-to-date, at $135,141.
Read the full Yardi Matrix Houston Multifamily Market Report: July 2025
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