Washington, D.C. Multifamily Market Report

Metro poised for stabilization amid sharp slowdown in new supply. The apartment inventory of Washington, D.C., rose at a steady rate of nearly 2 percent annually from 2019 to 2025. Last year’s deliveries were met with almost no growth in renter demand, resulting in a 130-basis-point jump in vacancy. Both trends are expected to shift in 2026. The pipeline of new units in walkable District neighborhoods such as NoMa and Navy Yard will contract substantially this year. Similar patterns are also anticipated in Crystal City-Pentagon City in Virginia and Silver Spring, Maryland, which should help moderate vacancy in these submarkets, bringing rates into the 7 percent range as of March.