Boston Multifamily Market Report

Near-term speed bumps contrast solid picture farther out. Boston’s multifamily sector entered 2023 with a mixed outlook. The region’s concentration of highly-skilled labor may create renter demand headwinds, as finance and tech firms look to slim payrolls this year. Longer-term, however, supply additions are expected to run well short of demand. In 2018, the Metro Mayors Coalition, a group of 15 Boston-area governments, agreed to facilitate the construction of 185,000 new units by 2030, or roughly 15,400 rentals annually. Yearly completions have so far remained under this benchmark, and an active pipeline of about 17,000 doors across the region indicates supply growth will remain under this target for the foreseeable future.