CultureMap Austin writes, "It seems that Austin will keep building as long as the people keep moving here. A new apartment construction analysis finds that Austin has the No. 1 highest apartment construction rate out of all U.S. cities this year, with more than 15,000 new units expected to be completed from the beginning of the year to the end of December 2025.
RentCafe's report, "New Apartment Construction Tops 500K Units This Year, More Than Half in 1 Region" examined apartment building data across 369 U.S. metro areas, specifically buildings containing 50 or more units.
More than 500,000 apartments are in development throughout the country this year, the report found, though that's significantly lower than the 640,000-plus units that were completed nationwide by the end of 2024.
This year, more than half of incoming apartments are being built in the South, where five major Texas cities are leading the building boom: Austin (No. 1), Houston (No. 3), San Antonio (No. 7), Dallas (No. 9), and Fort Worth (No. 20).
Though Austin is leading the charge with the most new units under development in 2025, it's a far cry from the 21,506 apartments the city was building in 2024. But that's not stopping the massive population growth.
"From 2020 to 2024, Austin’s population grew by 10.9 percent, making it the fastest-growing large metro in the U.S.," the report's author wrote. "Naturally, this steady influx of newcomers — particularly young professionals, tech workers and people moving from other states — has created intense demand for apartments. In response, developers moved quickly, launching a record number of developments between 2021 and 2023."
The report adds that construction timelines in Austin have ranged between 18-36 months, which has led to the city's record-breaking apartment development this year.
The top 10 U.S. cities building the most new apartments in 2025 are:
- No. 1 – Austin, Texas
- No. 2 – Charlotte, North Carolina
- No. 3 – Houston, Texas
- No. 4 – Brooklyn, New York
- No. 5 – Phoenix, Arizona
- No. 6 – Atlanta, Georgia
- No. 7 – San Antonio, Texas
- No. 8 – Denver, Colorado
- No. 9 – Dallas, Texas
- No. 10 – Nashville, Tennessee
RentCafe also attributes Texas' apartment building boom to the state's reputation as a "migration magnet" with excellent job and economic growth rates.
"Southern metros typically offer streamlined approval processes and fewer regulatory hurdles, making it easier to bring multifamily projects to market," said Yardi Matrix senior analyst and manager of business intelligence Doug Ressler. "At the same time, elevated home prices and a shortage of attainable for-sale housing are pushing more residents toward rentals. For many households, single-family (housing) ownership is simply out of reach — fueling demand for rental housing."
Where Austin lands among the top 20 U.S. metros for apartment construction
A separate RentCafe ranking of the top 20 U.S. metros (not cities) building the most new apartments in 2025 places New York and Dallas-Fort Worth above Austin on the list, leaving the Texas capital behind in third place.
Austin and its surrounding suburbs are expected to complete 26,715 apartments by the end of this year, the report found. Austin proper will produce a majority of those finished apartments, totaling 15,195 units.
Manor has the second-highest rate of new apartment construction in the Austin metro area, and is expected to build 2,672 units. Meanwhile, San Marcos is expected to complete development on 1,612 apartments this year.
Here's how many new apartments other Austin-area cities plan to complete by the end of 2025:
- Round Rock – 1,742 units
- Del Valle – 943 units
- Georgetown – 908 units
- Hutto – 665 units
- Pflugerville – 632 units
- Leander – 532 units
- Kyle – 442 units
Elsewhere in Texas, Dallas-Fort Worth has the second-highest number of new units being built in the U.S. this year, totaling 28,958 apartments. However, RentCafe says that's a 22.4 percent drop in completed apartments as compared to 2024.
"Even with this slowdown, the Metroplex remains one of the top places in the country for new apartment completions," the report's author wrote. "As such, this dip in construction may just be the market taking a breather after a period of intense growth. But, with so many people still moving to the area, the demand for housing remains high."
The top 20 U.S. metro areas building the most new apartments in 2025 are:
- No. 1 – New York, New York
- No. 2 – Dallas-Fort Worth, Texas
- No. 3 – Austin, Texas
- No. 4 – Phoenix, Arizona
- No. 5 –Atlanta, Georgia
- No. 6 – Charlotte, North Carolina
- No. 8 – Houston, Texas
- No. 9 – Washington, D.C.
- No. 10 – Denver, Colorado"
Source: CultureMap Austin
Written by: Amber Heckler
Published: August 25, 2025
Posted by Grossman & Jones Group on
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