The Sacramento multifamily market in Q4 2025 experienced a slight uptick in vacancy rates while rents remained flat. Construction activity and deliveries continued to decline, signaling a slowdown in new supply. Sales prices surged year-over-year, and cap rates compressed slightly, reflecting strong investor interest despite softer absorption. Explore our full Sacramento multifamily market review for detailed insights and trends.
4Q 2025 Sacramento Multifamily Market: Key Data Points
- Vacancy Rate Edges Higher: Multifamily vacancy rose to 6.8%, up 40 bps year-over-year.
- Average Asking Rent Holds Steady: Rents averaged $1,762 per unit per month, showing 0% change year-over-year.
- Construction Pipeline Contracts: Units under construction dropped to 3,135, down 37% from last year.
- Sales Price Surges: Average sales price per unit climbed to $230,869, a 41% increase year-over-year.
- Deliveries & Absorption Slow: Q4 deliveries totaled 580 units, down 35%, while net absorption was 326 units, a 45% decline year-over-year.
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