Austin Multifamily Market Report

Austin’s supply wave begins cresting. In the fi rst quarter of 2025, the metro welcomed 5,400 new units. Renter demand slightly exceeded that count with almost 5,700 units absorbed, helping vacancy fall to 7.0 percent — its lowest level since mid-2023. During the trailing 12-month interval ended in March, submarkets like East Austin and Round Rock-Georgetown captured the strongest absorption, exceeding or keeping pace with robust development activity with the help of leasing incentives. Southeast Austin also outperformed; vacancy declined by 230 basis points despite local inventory growth over 15 percent. In contrast, Class B and C properties in outer southern suburbs face softening, recording vacancy rates up to 310 basis points above the urban core’s. Although another 11,800 units are expected to deliver before year-end, likely maintaining some vacancy pressure, construction will slow further in 2026.