Phoenix Multifamily Market Report

Supply wave meets resilient demand. Developers brought 27,700 units online in the 12 months ended March, lifting the three-year total to roughly 60,000 apartments — near one-sixth of the pre-2021 stock. Yet absorption kept pace. Net move-ins reached 30,000 units over the past year, cutting metro vacancy by 120 basis points to 6.1 percent. Most deliveries landed in Avondale-Goodyear-West Glendale and Peoria-Sun City-Surprise, where demand eclipsed 10,000 rentals in each submarket. Vacancies in supply-constrained areas like Southwest Mesa and South Tempe hover near 6 percent, but a faster construction pace across the metro will test leasing leverage, as the market records another year of historic deliveries.