The Phoenix area is experiencing its biggest apartment construction surge in 40 years, which is putting pressure on rent prices across the Valley.
Maricopa County developers delivered 13,500 units in 2023 and 20,000 last year. They are expected to exceed 26,000 this year.
“We haven’t seen that kind of level since the 1980s,” said Business Intelligence Manager Doug Ressler at Yardi Matrix, which collects real estate data.
As the supply of housing increases, rents are dropping, already by 2.2% in 2025, according to Yardi’s National Multifamily Report.
It’s $46 per month cheaper to rent now than this time last year, while the apartment occupancy rate is down by 0.4%.
“It’s become more consumer-friendly for renters. They have a lot more options to choose from, because there’s more supply coming in,” said Ressler.
Source: https://www.azfamily.com/2025/03/29/phoenix-area-rent-prices-dropping-due-construction-boom
