Title: The Looming Rent Crisis: A Supply Crunch in the Making? The rental market has seen some relief in 2025 as an influx of newly completed apartments led to cheaper rents across many U.S cities. However, a recent surge in construction activity may soon come to an end, leading to potential trouble for renters in the near future. Data released by the U.S Census Bureau and the Department of Housing and Urban Development shows that both starts (the launching of new constructions) and completions have seen significant declines compared to last year. This could signal a shift towards a challenging cycle for renters, as the number of available properties stagnates due to macroeconomic pressures keeping more people in the rental market. The decline in starts is particularly concerning, with activity dropping by nearly 11% when compared to October 2024. This means that fewer apartments are being built now than they were a year ago. Completions have also seen a significant drop of almost 42%, indicating that there are currently fewer newly constructed apartments ready for the market than in 2024. However, it’s not all doom and gloom; permits authorizing new apartment construction saw an increase, suggesting that builders have several projects lined up. But given the time it takes to complete a building once a permit is issued (over a year and half), this uptick in permits may not translate into immediate increases in supply. The potential implications of this trend are significant. With fewer new apartments being built, there will be less inventory available for both home sales and rentals moving forward, exacerbating the existing housing shortage. This could lead to increased competition among renters, driving up prices and making it harder for people to find affordable accommodation. In conclusion, while the rental market has enjoyed some respite in 2025 due to an influx of new apartments, this may be short-lived as construction activity slows down. The decline in starts and completions could lead to a supply crunch, making it more challenging for renters to find affordable housing options. It’s crucial that policymakers take note of these trends and consider implementing measures to address the growing housing crisis before it becomes too late.
Source: [Original Article](https://www.nbcnews.com/business/real-estate/even-rent-falls-many-us-cities-supply-crunch-horizon-rcna251943)
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