National rents edged up in July as elevated supply keeps pricing in check
US apartment rents were essentially unchanged in July 2026, extending eight consecutive months of positive gains but registering the narrowest increase of that run, a signal that a persistent inventory overhang is capping pricing power as the summer leasing season peaks.
The national average asking rent rose to $1,747 from June's upwardly revised $1,746, a gain of +0.03%, according to a new multifamily rent report published by Apartments.com, a CoStar Group marketplace.
Annual rent growth edged up to +1.0% in July from +0.9% in June, though it remained just below the +1.1% recorded in the same month a year earlier.
June's month-over-month result was also revised upward from the initially reported +0.1% to +0.2%.
Supply overhang presses Mountain and Sun Belt markets
The Pacific region led monthly rent growth at +0.05%, followed by the Northeast at +0.03% and the South at +0.02%.
The Midwest was flat, while Mountain markets posted the only regional decline at -0.03%.
Year-over-year results told a similar story. The Midwest led all regions at +2.0% annually, followed by the Pacific at +1.8% and the Northeast at +1.6%.
National avg rent
$1,747
Month-over-month
+0.03%
Year-over-year
+1.0%
Consecutive positive months
8
| Metro market | Monthly change |
|---|---|
| San Francisco, CA | +0.59% |
| San Jose, CA | +0.39% |
| Oklahoma City, OK | +0.28% |
| Norfolk, VA | +0.26% |
| Tampa, FL | -0.21% |
| Las Vegas, NV | -0.25% |
| Salt Lake City, UT | -0.28% |
| Metro market | Annual change |
|---|---|
| San Francisco, CA | +10.9% |
| San Jose, CA | +6.8% |
| Norfolk, VA | +5.1% |
| East Bay, CA | +4.1% |
| Phoenix, AZ | -1.7% |
| Austin, TX | -1.9% |
| Las Vegas, NV | -1.9% |
| Denver, CO | -2.1% |
| San Antonio, TX | -3.0% |
| Region | Annual change | Monthly change |
|---|---|---|
| Midwest | +2.0% | Flat |
| Pacific | +1.8% | +0.05% |
| Northeast | +1.6% | +0.03% |
| South | -0.4% | +0.02% |
| Mountain | -1.0% | -0.03% |
Source: Apartments.com / CoStar Group, July 2026 Multifamily Rent Report.
Rents fell -0.4% in the South and dropped -1.0% in the Mountain region, where new supply additions have outpaced demand absorption, according to Apartments.com.
At the metro level, San Francisco recorded the strongest monthly gain among major markets at +0.59%, followed by San Jose at +0.39%, and led all metros annually with +10.9% year-over-year growth, reflecting the tighter supply conditions that distinguish Pacific coastal markets from their Sun Belt counterparts.
San Antonio posted the steepest annual decline at -3.0%, followed by Denver at -2.1%, Austin and Las Vegas at -1.9% each, and Phoenix at -1.7%.
What the data means for brokers and lenders
The July figures arrive as broader multifamily deal activity is accelerating. As commercial and multifamily lending has surged to competitive new highs in 2026, driven by a wave of refinancing activity and maturing bank loan portfolios, the divergence between high-performing and supply-pressured markets is shaping where capital is flowing.
"We've essentially entered a more liquid phase of the cycle," Xander Snyder, senior commercial real estate economist at First American Financial Corporation in Santa Ana, California, previously told Mortgage Professional America.
"There's a greater number of transactions, sales, refinances, but also distress."
That distress signal matters most in supply-heavy Sun Belt metros where annual rent declines are sharpest. Brokers advising investor clients in those geographies will need to stress-test income assumptions against current market conditions rather than peak-cycle projections.
As national apartment rents rose just 0.1% in June before the July slowdown, the summer deceleration is now tracking below initial expectations.
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