Sacramento Multifamily Market Report – July 2025

Supply Growth Slows, Occupancy Stabilizes

Sacramento average advertised asking rents were down 0.1%, on a T3 basis as of May, to $1,947, lagging the national figure by 40 basis points, according to the latest Yardi Matrix Sacramento multifamily market report. This marked a 10-basis-point improvement from the previous month. The average overall occupancy rate in stabilized properties was down 10 basis points year-over-year, to 94.9% as of April, but remained above the 94.4% national figure, as report in the U.S. multifamily market report.

Employment in Sacramento continued to soften, at 0.9% year-over-year through March, on par with the U.S. figure. With performance spotty across sectors, education and health services led growth, with 9,900 positions added to the workforce. The area’s unemployment rate stood at 4.4% as of April. The figure was 20 basis points above the U.S. rate, according to preliminary data from the Bureau of Labor Statistics. Sacramento’s economy could get a boost from the development of the 12,000-seat Republic FC soccer stadium. A financing plan has been approved for the $321 million project, which is set to break ground this year, with completion slated for 2027.

Developers delivered 1,149 units through May, representing 0.8% of stock and below the 1.0% national rate. Although no new construction starts were recorded in the first five months of 2025, 7,108 units were under construction in May. A total of $371 million in assets traded year-to-date through May, some $92 million short of 2024’s entire volume, signaling an uptick in activity.

Read the full Yardi Matrix Sacramento Multifamily Market Report: July 2025