Inland Empire Multifamily Market Report

The following reflects Inland Empire multifamily market conditions as of 2Q 2026.

The Inland Empire multifamily market continued to strengthen in 2Q 2026, with vacancy declining to 5.6% and average asking rents rising to $1,984 per unit per month. Net absorption outpaced new supply as construction activity slowed sharply following an already-thinning development pipeline, supporting continued occupancy gains and steady investment activity across the region.

Frequently Asked Questions

What is the current multifamily vacancy rate in the Inland Empire?

The Inland Empire multifamily vacancy rate was 5.6% in 2Q 2026, down 40 basis points from 6.0% in 2Q 2025 and improved from 5.8% the prior quarter, reflecting continued occupancy gains.

What are average asking rents by unit type in Inland Empire multifamily?

Average asking rents across all unit types reached $1,984 per unit per month in 2Q 2026, up 1.07% year-over-year. By unit size, average monthly rents were $1,434 for studios, $1,755 for one-bedroom units, $2,103 for two-bedroom units, and $2,332 for three-bedroom units.

How much net absorption did Inland Empire multifamily see?

Net absorption totaled 1,230 units in 2Q 2026 and 2,334 units year-to-date, down 20.67% from 2,942 units over the same period in 2025. Absorption continued to exceed new construction deliveries, supporting the market’s occupancy gains.

What do construction deliveries and the development pipeline look like?

Construction deliveries totaled 771 units in 2Q 2026 and 921 units year-to-date, a 70.61% decrease from 3,134 units delivered over the same period in 2025. Units under construction fell to 4,699, down 23.67% year-over-year, as developers scaled back new projects.

What is the average multifamily sale price per unit in the Inland Empire?

The average multifamily sales price reached $207,693 per unit in 2Q 2026, up 1.59% year-over-year from $204,444 per unit in 2Q 2025.

What are current multifamily cap rates in the Inland Empire?

The average cap rate was 6.0% in 2Q 2026, up 30 basis points from 5.7% in 2Q 2025.

What was the largest multifamily sale transaction in 2Q 2026?

The largest sale was Upland Village Green in Rancho Cucamonga, a 186-unit property that sold for $48,500,000 ($260,753 per unit). Watkins Commercial Properties purchased the asset from G.H. Palmer Associates.

What is the outlook for the Inland Empire multifamily market?

With vacancy declining, rents rising, and absorption continuing to outpace a sharply reduced construction pipeline, the Inland Empire multifamily market is positioned for continued stabilization heading into the second half of 2026.

Last updated: 2Q 2026. Data source: CoStar. Compiled by the Kidder Mathews Research Group.

2Q 2026 Inland Empire Multifamily Market: Key Data Points

Explore our full Inland Empire multifamily market review for detailed trends and submarket insights.

• Vacancy Rate Improves: Inland Empire multifamily vacancy declined to 5.6% in 2Q 2026, down 40 basis points year-over-year.
• Average Asking Rents Rise: Average asking rents reached $1,984 per unit per month, increasing 1.07% year-over-year.
• Demand Outpaces New Supply: Net absorption totaled 2,334 units year-to-date, significantly exceeding 921 units of new construction deliveries.
• Development Pipeline Shrinks: Units under construction fell to 4,699, a 23.67% decrease year-over-year as developers scaled back new projects.
• Construction Deliveries Slow: Year-to-date deliveries declined 70.61% year-over-year to 921 units, limiting new multifamily inventory entering the market.
• Investment Activity Remains Steady: Average multifamily sales prices reached $207,693 per unit, while average cap rates increased to 6.0%.

Average Rent by Unit Type

Significant Sale Transactions 2Q 2026

Significant Under Construction

Significant Completed Construction 2Q 2026

Data as of 2Q 2026. Source: CoStar. Prepared by the Kidder Mathews Research Group.