The Best Cities to Buy Multifamily Property in 2026

After uneven rent growth and cautious deal flow, the U.S. multifamily sector heads into 2026 in a steadier, more measured position. 

After several years of heavy construction, new deliveries are finally slowing, yet demand has eased at the same time as job growth cools and immigration levels pull back. One clear trend is the widening affordability gap. High construction costs and limited development of moderately priced units have tightened vacancy in the mid-market segment, even as high-supply metros work through the tail end of recent building cycles.

The Emerging Trends in Real Estate® 2026 report underscores this split: investment prospects are strongest for moderate-income and workforce housing, while luxury apartments lag as supply remains concentrated at the top end. Markets with less construction and stronger affordability appeal are better positioned for rent stability. At the same time, a national push to expand housing through tax incentives, streamlined approvals, and zoning reform is beginning to shape long-term development patterns.

For investors, this environment rewards markets with balanced supply, resilient renter demand, and housing costs aligned with local incomes. Using insights from Crexi Intelligence and the latest market sentiment from Emerging Trends, this report identifies the top cities for multifamily real estate in 2026, focusing on metros that can support performance in a transitional year.

Methodology: How We Selected the 2026 Multifamily List

We identified the top 10 multifamily markets for 2026 by using Crexi’s real-time lead data, evaluating both year-over-year growth rates and absolute activity levels across metros. 

Markets were selected based on accelerating investor interest, lead volume, and fundamentals such as tightening vacancy, positive absorption, and pricing relative to replacement cost.

Top 10 Cities for Multifamily Investing in 2026

Below, we break down the best cities for multifamily investment in 2026, examining the market conditions, rent trends, and fundamentals shaping each metro. 

Demographic data is sourced from CensusReporter.org and DataUSA.io, while rent and occupancy numbers come from Zumper.com (based on one-bedroom units unless otherwise noted). Pricing, comps, and transactional insights are drawn from Crexi Intelligence.

1. Jacksonville, FL

Jacksonville enters 2026 as one of the strongest growing cities for multifamily investment. Cooling supply, steady population gains, and stronger renter demand are helping the market find its footing after several years of rapid construction. 

The metro is on track to reach 1.8 million residents, and job growth remains healthy, with nonfarm employment up 1.4% over the past year. Interest from investors continues to accelerate as well. Crexi data shows a 79% year-over-year increase in multifamily lead activity, signaling renewed confidence in the market’s trajectory.

Rents have softened but stabilized. Median rents are roughly $1,144 for a one-bedroom and $1,425 for a two-bedroom, with pricing down about 5% year-over-year. That reset has improved affordability compared  to other Florida metros, like Miami and Orlando.  

Supply is also tightening, with units under construction dropping more than 60% year-over-year. Stabilized occupancy sits near 91%, and absorption is outpacing new supply, which is an encouraging shift for landlords and investors. Recent transactions, including the Volta and The Julington in Southside, show continued appetite for newer, well-located assets. 

With a shrinking pipeline and steady renter demand, Jacksonville stands out as one of the best cities for multifamily property for long-term stability at accessible pricing.

Crexi Intelligence Jacksonville Multifamily Trends

For Sale (active)

• Median asking price: $460,000
• Price/SqFt: $252
• Asking cap rate: 7.1% 
• Days on market: 155
• Total listings on Crexi: 201 

Sales Comps (past 12 months)

• Median sold price: $224,200
• Sold price/SqFt: $159
• Sold price/unit: $175,000 
• Total sales volume: $904.5 million
• Sold cap rate: 7.9%
• Total SqFt sold: 5.4 million
• Days on market (median): 117

2. Houston, TX

Houston remains one of the top multifamily markets to watch in 2026s, driven by a noticeable rebound in leasing activity and a regional economy that continues to attract new residents and employers. 

The metro posted its best leasing performance in four years, absorbing more than 10,000 units in Q3, nearly twice the number delivered. Occupancy has climbed to roughly 90%, a meaningful shift in a region that added significant supply earlier in the cycle. Construction activity continues to cool, decreasing more than 50% year-over-year, which should help the market remain balanced as demand holds firm.

Rents have come down slightly, strengthening Houston’s affordability advantage. Median rent for a one-bedroom is $1,310, while a two-bedroom averages $1,597, both down about 4% year-over-year. That pricing stands in stark contrast to local homeownership costs; the typical monthly PITI payment now exceeds apartment rents by a wide margin. Plus, Houston attracted more new residents than any other U.S. metro in 2024, strengthening the renter base and supporting demand across a wide range of apartment types.

Houston’s fundamentals are steady, with vacancy tightening and household growth supporting long-term demand.

Crexi Intelligence Houston Multifamily Trends

For Sale (active)

• Median asking price: $1.2 million
• Price/SqFt: $156
• Asking cap rate: 6.9%  
• Days on market: 147 
• Total listings on Crexi: 188 

Sales Comps (past 12 months)

• Median sold price: $471,600  
• Sold price/SqFt: $165
• Sold price/unit: $186,200
• Total sales volume: $5.9 billion
• Sold cap rate: 7.6% 
• Total SqFt sold: 21.8 million 
• Days on market (median): 169

3. Memphis, TN

Memphis is one of our most affordable cities to buy multifamily properties in 2026, with price-to-rent ratios and operating costs that stand out across the Southeast. 

The market is still working through a heavy construction cycle, but recent data points to early signs of stabilization. After three quarters of negative absorption, demand turned positive in Q2 with 321 units absorbed, well above pre-pandemic norms. Deliveries are still elevated, but construction starts have fallen sharply, and the pipeline now represents just over 1% of total inventory, a fraction of the national average.

Rents have remained steady despite the supply pressure. The median one-bedroom averages $1,049, while a two-bedroom averages $1,041, both down slightly year-over-year. Memphis’ affordability gives it a clear edge in the Southeast; average rents sit well below Knoxville and Nashville, reinforcing renter interest and keeping turnover low. Effective rents run roughly $300 below Knoxville and more than $500 below Nashville, giving the metro lots of room to attract cost-conscious renters. Occupancy sits near 87%, still below national levels but holding steady as new supply slows.

Major employers like FedEx, St. Jude Children’s Research Hospital, and the nearby BlueOval City EV manufacturing hub continue to anchor long-term demand. For investors, the combination of resilient renter interest, slower future deliveries, and pricing well below other regional metros makes Memphis one of the best cities for entry-level multifamily investors for 2026.

Crexi Intelligence Memphis Multifamily Trends

For Sale (active)

• Median asking price: $1.3 million 
• Price/SqFt: $97  
• Asking cap rate: 7.1%  
• Days on market: 140
• Total listings on Crexi: 57 

Sales Comps (past 12 months)

• Median sold price: $100,300 
• Sold price/SqFt: $65
• Sold price/unit: $95,500
• Total sales volume: $429.6 million 
• Sold cap rate: 8.9%
• Total SqFt sold: 3.9 million
• Days on market (median): 120

4. Detroit, MI

Detroit enters 2026 as a value-oriented multifamily market with opportunities in adaptive reuse and high-yield suburban assets.The construction pipeline is slowing sharply, a shift that may help the metro regain its balance after record deliveries in 2024 and 2025. 

Vacancy has held steady in recent quarters, and while population losses and softer job growth continue to weigh on demand, suburban pockets such as Novi–Livingston County, Clinton Township, and parts of I-94 are posting healthier absorption and lower vacancy levels. These areas continue to draw investors who prioritize strong cash flow and manageable entry prices without taking on the volatility seen in the urban core.

Baton Rouge is one of our top multifamily property hotspots for 2026. The median one-bedroom averages $1,012, while a two-bedroom rents for $1,165. Overall rents have risen about 3% year-over-year, though performance varies widely across the metro. Some submarkets, such as Royal Oak–Oak Park, have posted strong gains, reflecting deeper renter demand for well-located, higher-quality units.

Detroit’s expanded PILOT incentives and ongoing revitalization funding offer additional angles for investors targeting value-add or workforce housing strategies.

Crexi Intelligence Detroit Multifamily Trends

For Sale (active)

• Median asking price: $595,000
• Price/SqFt: $81
• Asking cap rate: 9.1%  
• Days on market: 158 
• Total listings on Crexi: 137  

Sales Comps (past 12 months)

• Median sold price: $62,000 
• Sold price/SqFt: $37 
• Sold price/unit: $16,300
• Total sales volume: $247.9 million 
• Sold cap rate: 10.4% 
• Total SqFt sold: 4.8 million
• Days on market (median): 228 

5. Baton Rouge, LA

Baton Rouge is one of the top affordable multifamily markets for 2026, with fundamentals that (while mixed) offer clear advantages for buyers focused on affordability, steady rent performance, and long-term regional demand. 

The market is absorbing new supply at a healthier pace than in previous years: 1,097 units were absorbed over the past 12 months, nearly keeping pace with the 1,228 units delivered. Vacancy remains elevated at 14.2%, but much of that softness is concentrated in supply-heavy pockets of South Baton Rouge and Downtown, while outlying areas with limited construction are posting much lower vacancy levels. 

Investment activity has strengthened, with noteworthy deals such as Gates at Citiplace ($59.6 million) and The Terraces at Perkins Rowe ($41.8 million) drawing private buyers.

Rents continue to climb, supported by strong interest in mid-tier properties. The median one-bedroom rents for $1,127, and a two-bedroom averages $1,126. Prices are up 3.7% year-over-year, well above pre-pandemic norms and significantly below New Orleans and the national average. These factors only add to Baton Rouge’s positioning as one of the best affordable cities to buy multifamily properties.

Crexi Intelligence Baton Rouge Multifamily Trends

For Sale (active)

• Median asking price: $1.1 million
• Price/SqFt: $89 
• Asking cap rate: 8%
• Days on market: 113 
• Total listings on Crexi: 47

Sales Comps (past 12 months)

• Median sold price: $112,000 
• Sold price/SqFt: $82
• Sold price/unit: $19,700 
• Total sales volume: $131.2 million
• Sold cap rate: 11.7%
• Total SqFt sold: 735,100
• Days on market (median): 375

6. Saint Paul/Twin Cities, MN

With tightening vacancy, cooling construction, and steady demand, St. Paul and the broader Twin Cities region rank among the best urban markets for multifamily investing in 2026.

Vacancy has fallen to roughly 5%, helped by a sharp pullback in new supply, particularly in downtown St. Paul, where deliveries have thinned and leasing has strengthened. Suburban areas such as Maple Grove and East St. Paul are also outperforming, supported by growing manufacturing and technology investment tied to expansions from Boston Scientific and BAE Systems.

Downtown rents now average about $1,636, with modest growth that tracks closely with the region’s broader pattern of slow, steady absorption and more balanced construction. Class B and C properties continue to post the strongest gains as concessions ease and demand remains consistent across much of the metro.

For investors, the slowdown in new development is creating more predictable conditions. At the same time, recent adjustments to St. Paul’s rent control exemptions have renewed interest in the city’s core. With vacancy tightening and demand holding firm across most submarkets, the Twin Cities remain a reliable pick for multifamily investment in 2026.

Crexi Intelligence Saint Paul/Twin Cities Multifamily Trends

For Sale (active)

• Median asking price: $895,000 
• Price/SqFt: $131  
• Asking cap rate: 6.7% 
• Days on market: 83 
• Total listings on Crexi: 32

Sales Comps (past 12 months)

• Median sold price: $290,300  
• Sold price/SqFt: $205 
• Sold price/unit: $276,300
• Total sales volume: $2.2 billion
• Sold cap rate: 6.6% 
• Total SqFt sold: 11.5 million 
• Days on market (median): 165

7. Kansas City, MO

Kansas City continues to draw investor interest as absorption outpaces new supply. With vacancy at just 3.8%, it’s one of the Midwest’s tightest multifamily markets, even as many peer metros contend with softer leasing conditions.

In this region, rent prices are staying competitive relative to other Midwestern metros. One-bedroom units average $1,147 and two-bedrooms sit at $1,405, keeping Kansas City below markets like Chicago and Minneapolis while still trending ahead of St. Louis. 

Although overall rents dipped 1.4% year-over-year, several submarkets saw two-bedroom rates climb, a sign that demand is holding up in the metro’s more affordable areas. Adding to that stability, major corporate moves, including a new Fortune 500 fintech hub and ongoing industrial expansion, are delivering a steady flow of new renters.

Recent sales activity also points to solid momentum, with portfolio and institutional trades signaling continued interest from both local and national buyers. Deals such as the SEKC Portfolio and Cyan Southcreek illustrated confidence in the metro’s long-term trajectory. Development is also moving forward in a thoughtful way. Projects like Alura I in Lee’s Summit and Arrive KC in the urban core are examples of builders placing bets where population and employment growth are most visible.

Even better, Kansas City’s fundamentals are translating into real engagement on the ground. And with absorption outpacing new supply, expanding employer hiring, and a 26% YoY jump in Crexi lead activity, Kansas City offers investors a rare blend of stability and long-term upside.

Crexi Intelligence Kansas City Multifamily Trends

For Sale (active)

• Median asking price: $362,500 
• Price/SqFt: $107 
• Asking cap rate: 7%
• Days on market: 181
• Total listings on Crexi: 87

Sales Comps (past 12 months)

• Median sold price: $427,000 
• Sold price/SqFt: $129  
• Sold price/unit: $112,800 
• Total sales volume: $596.5 million
• Sold cap rate: 10.4%
• Total SqFt sold: 1.9 million  
• Days on market (median): 237

8. Austin, TX

Austin remains a closely watched multifamily market heading into 2026, not because it’s smooth sailing, but because its supply-heavy environment is finally starting to rebalance. Developers continued to add units at one of the fastest rates in the country, yet renter demand has kept pace more often than not, helping vacancy settle near 7%, its lowest level since mid-2023.

Rents continue to adjust after years of heavy construction. One-bedroom units average $1,545, and two-bedrooms come in around $1,998, reflecting a 3.5% annual decline. The pullback is notable compared to the national trend, but Austin’s pricing still sits comfortably above most major Texas metros. Submarkets like East Austin, Southeast Austin, and Round Rock–Georgetown are absorbing the bulk of new supply, aided by incentives and a still-healthy pipeline of renters tied to the region’s expanding tech, manufacturing, and medical sectors.

Investors are watching the pipeline closely as roughly 18,000 units remain under construction, with additional master-planned developments already queued for 2026. Investors are watching the pipeline closely.

When it comes to the top cities for multifamily investors seeking appreciation, Austin presents a solid case in the long term. Rents are soft today, but the metro’s job growth, population inflow, and slowing construction support steady value gains once supply normalizes.

Crexi Intelligence Austin Multifamily Trends

For Sale (active)

• Median asking price: $1.6 million 
• Price/SqFt: $406
• Asking cap rate: 6.2%
• Days on market: 120
• Total listings on Crexi: 66

Sales Comps (past 12 months)

• Median sold price: $629,100 
• Sold price/SqFt: $244 
• Sold price/unit: $265,700 
• Total sales volume: $2.2 billion
• Sold cap rate: 1.1%
• Total SqFt sold: 4.5 million
• Days on market (median): 403

9. Spokane, WA

The Spokane multifamily market spent the past two years absorbing an unusually large construction wave, but in 2026, it’s finally regaining its sense of stability.

After vacancy climbed above 9% in late 2024, the rate has eased to about 7.2% and is projected to tighten further as the pipeline continues to shrink. Only 879 units are under construction - less than half of what the metro delivered in 2023 or 2024 - setting the stage for a more balanced supply-demand environment going forward.

Rental rates are also resetting. One-bedrooms now average $1,080 and two-bedrooms average $1,382, making Spokane significantly more affordable than pricier Pacific Northwest markets like Seattle and Portland. Overall rents dipped 2.6% over the past year, though two-bedroom units have started to firm up as competition moderates in key submarkets. For investors tracking cities with high rental demand for multifamily properties, Spokane offers a more attainable entry point than its regional peers. 

Several large projects continue to move forward, but the broader slowdown in construction should help existing assets regain pricing power. All told, Spokane offers a steadier investment profile than many West Coast metros, with room for pricing recovery as supply returns to more typical levels.

Crexi Intelligence Spokane Multifamily Trends

For Sale (active)

• Median asking price: $895,000  
• Price/SqFt: $235
• Asking cap rate: 6.1% 
• Days on market: 112 
• Total listings on Crexi: 64  

Sales Comps (past 12 months)

• Median sold price: $334,900  
• Sold price/SqFt: $170
• Sold price/unit: $194,400 
• Total sales volume: $125.7 million
• Sold cap rate: 6.6% 
• Total SqFt sold: 565,500 
• Days on market (median): 158

10. Indianapolis, IN

The Indianapolis multifamily market has fundamentals that continue to outperform much of the Midwest, supported by strong in-migration, job creation, and a rental market that is accessible to a wide range of households. 

The metro has been a top relocation destination for two years running, aided by its lower cost of living and growing employment base in logistics, healthcare, and professional services. Employers such as GXO Logistics and Eli Lilly are expanding, contributing to thousands of jobs added in 2025 and reinforcing long-term rental demand.

Vacancy is tightening even after a substantial construction cycle. Marketwide vacancy sits near 5%, with many submarkets posting year-over-year declines of more than 200 basis points. 

Compared to larger Midwest metros, Indianapolis rent costs are relatively accessible. One-bedrooms average $1,161 and two-bedrooms $1,366, with overall rents dipping about 2% over the past year. As the construction pace eases and migration remains strong, Indianapolis is positioned for steady performance and lasting demand.

Crexi Intelligence Indianapolis Multifamily Trends

For Sale (active)

• Median asking price: $1.3 million
• Price/SqFt: $184  
• Asking cap rate: 6.8%
• Days on market: 150
• Total listings on Crexi: 34

Sales Comps (past 12 months)

• Median sold price: $219,600
• Sold price/SqFt: $105  
• Sold price/unit: $115,000 
• Total sales volume: $2.6 billion 
• Making smart choices in today’s market comes down to data.Total SqFt sold: 2.2 million 
• Days on market (median): 225

Final Thoughts

These cities share fundamentals that consistently set them apart from other multifamily markets. Many are benefiting from steady renter demand, improving supply conditions, and cost structures that make them more accessible than high-priced coastal metros. Even in markets working through temporary softness, the groundwork is in place for stronger performance as construction eases and absorption improves.

For investors looking for the top-performing cities for multifamily investments, these metros stand out because the math works. They’re sustaining healthy absorption, drawing new households, and maintaining rent levels that keep units attainable for broad renter segments. Just as important, they offer clearer routes to value creation - whether through gradual appreciation, reliable income performance, or strategic repositioning - without the volatility that defines many higher-cost markets. 

Strong multifamily decisions rely on accurate, real-time data. Crexi Intelligence gives investors real-time access to comps, rent data, cap rates, and sales history at both the city and property level. You can filter by geography, property type, NOI, and dozens of other factors to validate where these top markets fit your strategy. 

With more than 153 million verified comps and intuitive research tools, Crexi helps investors cut through noise and focus on the opportunities that matter most.

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