An Inflation Mirage?
Last week’s CPI showed a notable 0.7% decline in annual inflation. While lower oil prices were a large factor in the all items index, the 0.3% decline in the core inflation number, (which excludes food and energy prices) suggests that the surge in oil prices has not ignited more widespread inflation throughout the economy. Similar declines in the Producer Price Index support this more optimistic view of resilience against inflation. Even consumer sentiment data, which has been lower due to inflation-related worries, improved considerably for the second straight month. The escalating conflict in Iran and increased tariffs pending could make this economic progress short lived, but these signs of economic resilience support sustained apartment demand and stronger apartment performance as supply growth declines.
National YoY Rent Growth Average, May 2026*
-0.20% –
* Based on data from RealPage, Zillow, Yardi Matrix, Apartment List, and CoStar
National Occupancy Average, May 2026*
93.53% ↓
* Based on data from RealPage, Yardi Matrix, Apartment List, and CoStar
3.59% ↑
3.64% –
The Apartment Market and the Economy
2nd Quarter Apartment Supply Hits Below Recent Peaks, Supply Growth in the South Dwarfs Midwest and Northeast (RealPage)
Inflation Data: CPI Down from 4.2% to 3.5% YoY, PPI Down from 6% to 5.5% YoY (Bureau of Labor Statistics)
Builder Sentiment Stays Weak as Affordability Concerns Persist (NAHB)
Multifamily Markets and Reports
Multifamily Marketbeat: “Demand accelerated sharply in Q2” (Cushman & Wakefield)
Office-to-Apartment Conversions Under Heavy Scrutiny after Former Pfizer HQ’s Near Collapse (Bisnow)
Midwest multifamily market rent growth strengthened at start of 2026 (Northmarq)
Many Owners Cannot Afford to Maintain Aging Homes (Harvard Joint Center for Housing Studies)
Multifamily and Housing Markets
Millennial housing report: Where they’re buying homes and where they’re still renting (RentCafe)
More Tax Credits And Fewer Investors Squeeze Affordable Housing Deals (GlobeSt)
CRE Markets and Lending Data
Bank Real Estate Credit Since 2019: Where Balances Grew, and by How Much (CRED iQ)
Muted CRE Bank Lending Is a Large-Bank Story (Trepp)
More States Implement Special Power Rates For Data Centers (Bisnow)
The future of quantum real estate: Transitioning from theory to deployment (JLL)
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