The apartment construction market
Builders started apartments in 5+ unit buildings at a seasonally adjusted annual rate of 349,000 units in September 2026, against 471,000 a year earlier. 677,000 units were under construction, down from a peak of 1,001,000 in July 2023. Bank standards are roughly flat: on net, 3.7% of loan officers eased standards for construction loans in the Fed's July 2026 survey.
Starts, last five years
October 2021September 2026
Units under construction
October 2021September 2026
Bank lending standards for construction loans
The Federal Reserve asks senior loan officers each quarter whether they tightened or eased standards for construction and land development loans. Positive means more banks tightened than eased. The highest reading since the series begins in October 2013 was 80.9, in the July 2020 survey; the latest reading is -3.7. For multifamily loans specifically it is -5.7, and demand for construction loans reads -11.1 (negative means weaker demand).
October 2020July 2026
Sources
U.S. Census Bureau and HUD, New Residential Construction (units in buildings with 5 or more units, seasonally adjusted), from the Bureau's historical series files. Federal Reserve Board, Senior Loan Officer Opinion Survey on Bank Lending Practices (series SUBLPDRCSC, SUBLPDRCDC and SUBLPDRCSM, from the Board's data download). Latest data points as shown; rebuilt from the published series by script.