09/07/2026
Developer Confidence Softens in Q2
As someone who has spent decades navigating both residential and commercial real estate, I’ve seen firsthand how shifts in developer confidence ripple through our industry. In the second quarter, US multifamily developers continued to feel the weight of regulatory barriers and tighter financing conditions, despite a newly enacted housing law that’s expected to bring some relief over time. While job growth is supporting steady demand for rental housing, persistent supply-side challenges—like elevated interest rates, lengthy approval timelines, and even difficulties with securing utilities—are slowing down new multifamily projects nationwide. High material costs and a shortage of skilled labor add further complexity, keeping development conditions challenging, even as rental demand holds firm. Policy changes may eventually help, but for now, developers are still contending with financing and approval roadblocks. Having led teams through similar cycles, I know how critical it is to stay informed and adaptable as these conditions evolve.