Monday Market Insight: Austin & DFW Rents Reach Parity

Neerja Kwatra
Nov 3, 2025
2 min read

Updated: Dec 18, 2025

# Market Insights: Austin vs. Dallas-Fort Worth Apartment Rents

By: New Edge Commercial Real Estate

Market Overview

Apartment rents in Austin and Dallas-Fort Worth have now aligned. Both cities average around $1,550 per month. This marks the first time Austin has lost its long-standing rent premium over DFW.

Supply Expansion Drives Change

Austin’s multifamily inventory surged 27% over the past three years. That’s 70,000+ units added! In contrast, DFW saw a 12.7% increase with 103,000 new units. This rapid expansion has led to softer rent growth. It’s also heightened competition among landlords.

Rising Concessions and Price Adjustments

Roughly 65% of Austin properties are offering rent concessions. Some DFW suburbs even extend 6–12 weeks of free rent! Austin’s average rents are now 12% below 2022 peaks, reverting to early-2021 levels. Despite this, leasing momentum remains strong. We absorbed 20,000 units in 2024, and we expect a similar pace for 2025.

Affordability and Outlook

Lower rents have eased cost burdens. This makes Austin more competitive for relocation and workforce housing. Analysts anticipate rent recovery by 2026–2027 as supply stabilizes and incentives taper off.

The Importance of Market Intelligence

Understanding market trends is crucial! It helps us make informed decisions. As business owners, we need to stay ahead of the curve. By leveraging market intelligence, we can navigate changes effectively.

Strategies for Success

Here are some strategies to consider:

Stay Informed: Regularly check market reports and updates. Knowledge is power!
Evaluate Your Portfolio: Assess your properties and their performance. Are adjustments needed?
Engage with Tenants: Open communication can lead to better retention rates. Happy tenants stay longer!
Explore New Opportunities: Look for emerging markets or neighborhoods. Growth potential is everywhere!

Conclusion

In conclusion, the Austin and DFW rental markets are evolving. With changing dynamics, we must adapt. Let’s embrace these changes and leverage them for success!

Read the full CoStar report: https://product.costar.com/home/news/1370939436