Baltimore Multifamily Market Report Q4 2024
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Multi family Market Report 2024 Q4 Baltimore
Baltimore’s multifamily market continues to show resilience and strong fundamentals. Despite the addition of over 8,900 new units in the past three years , the vacancy rate has stabilized at 7.5%, demonstrating the market’s ability to balance supply and demand effectively.
Rent growth has remained positive at 2.7%, surpassing the national average of 1.0%, with notable increases in submarkets such as Southeast Baltimore County (7.4%), Canton (6.9%), and South Baltimore (5.9%).
Market Overview 4,211 12-Month Delivered Units 3,056 12-Month Absorption Units 7.5% Vacancy Rate 2.7% 12-Month Asking Rent Growth
Baltimore’s economy continues to recover, driven by a strong labor market and ongoing infrastructure investments. The city’s unemployment rate remains low at 3.1%, reflecting a resilient job market with growth in key sectors such as healthcare, education, and logistics. The Port of Baltimore has seen a steady increase in activity, further strengthening the local economy and contributing to demand for multifamily housing.
Continued investment in infrastructure projects and economic development initiatives are expected to support job creation and drive further housing demand in the Baltimore market.
Baltimore Economic Overview 3.1% Unemployment Rate 5.2% YoY Port Activity Growth $78,000 Median Household Income Top Employment Sectors Healthcare Education Trade
2024 CoStar Group - Licensed to Midfield Properties
Vacancy Rates & Rent Growth Despite the added inventory in recent years, vacancy remains stable at 7.5% , thanks to above-average absorption of 3,100 units in 2024 , well above the 10-year norm of 2,400 units . Rents are still on the rise, up 2.7% year-over-year , outpacing the national average of 1.0% .
Some of the biggest r ent jumps are in Southeast Baltimore County (+7.4%) and Canton (+6.9%) , proving renters continue to chase quality housing. With top rents in Canton ($2,260) and Federal Hill ($2,215) , demand remains clear.
Less new construction means l andlords face fewer oversupply concerns , and rent appreciation is likely to continue. Baltimore’s multifamily market remains resilient and well-positioned for future growth despite broader economic shifts.
(Source: CoStar, Baltimore Multifamily Market Report, Q1 2025) With 3,200 units currently under development, new supply in Baltimore has slowed significantly from its 2023 peak of 6,000 units. This pullback is creating a more balanced market, helping rents hold steady and keeping demand strong.
2024 CoStar Group - Licensed to Midfield Properties
Construction & Sales Activity While overall construction activity in Baltimore has decelerated, key developments underscore ongoing investment in strategic areas: Harbor Point Development: This 27-acre mixed-use waterfront project is transforming a former industrial site into a vibrant neighborhood, blending office spaces, retail outlets, residences, hotels, and extensive green spaces.
210 N. Charles Street Conversion: The historic Fidelity & Deposit Building is undergoing a significant transformation from a 15-story office tower into a 231-unit apartment complex, with additional retail and restaurant spaces.
Investor confidence remains robust, as evidenced by our recent 100 Unit SFR Portfolio sale and our 244-unit property currently under contract. Furthermore, the introduction of our new 330-unit listing in Baltimore County reflects sustained demand and attractive investment opportunities .
Since November, there has been a notable uptick in buyer activity, highlighting confidence in Baltimore’s multifamily market despite broader economic fluctuations.
Our brokerage currently has 47% of listings under negotiation or under contract, surpassing the overall market’s 31.46%.
This indicates a significant uptick in buyer demand and underscores the strength of our market position.
These developments, coupled with a 40-basis-point increase in occupancy rates to 94.9% as of October 2024, demonstrate the city’s resilience and the continued appeal of its real estate market.
Key Construction and Sales Figures Units Under Development 3,200 Total Sales Volume (Past 12 Months) $1.1 billion Deals Under Contract Compared to Listing 47% under negotiation/under contract from our brokerage, with the overall market at 31.46%, showcasing recent buyer uptick in demand.
2024 CoStar Group - Licensed to Midfield Properties
Debt Market Overview 5.87% to 8.88% Loan Amounts (Over $6 Million) Rates typically range from 5.87% to 8.88% Loan Amounts (Under $6 Million) Rates generally fall within the same range of 4.98% and 7.20% Agency Loans (Fannie Mae & Freddie Mac) Interest rates vary between depending on specific loan terms and borrower qualifications 7.50% and 10.50% Bridge Loans Current rates are approx. between influenced by factors such as property location and loan specifics 7.23% to 9.87% Mezzanine Financing Interest rates typically range from reflecting the subordinated nature of this financing Please note that these rates are subject to change and can vary
based on lender policies, borrower qualifications, and prevailing market conditions. It’s advisable to consult directly with lenders or financial advisors for the most accurate and personalized information.
As of February 11, 2025, the Federal Reserve’s target range for the federal funds rate is 4.25% to 4.50%, with officials signaling a cautious approach to future adjustments. Meanwhile, the 10-year Treasury yield sits at approximately 4.51% and may trend higher due to inflation concerns, potential tariffs, and sustained economic growth.
The potential for new tariffs could drive inflation and borrowing costs higher. While these tariffs may encourage job growth in the U.S., their long-term economic impact remains uncertain. Investors should closely monitor economic conditions and plan accordingly.
Debt Outlook
Debt Market Overview 2024 CoStar Group - Licensed to Midfield Properties
2024 CoStar Group - Licensed to Midfield Properties Top Buyer Brokers
Our Recent Achievements 244 Units | Multifamily Hillside Manor & Forest Glen Apartments Under Contract Apartments 330 Actively Listed 1810 McCulloh St Sale Price Properties $8,000,000 + 100 Baltimore SFR Portfolio Sale Price Price Per Unit Units $3,000,000 $83,333 3602 Monterey Rd
1810 McCulloh St Sale Price Price Per Unit Units $1,980,000 $165,000 Station North 12 Units | Multifamily 201 E North Ave Sold 1810 McCulloh St Sale Price Price Per Unit Units $3,250,000 $180,555 Near Charles Village Sale Price Price Per Unit Units $2,597,000 $129,850 E Madison St
YAAKOV KANEVSKY Managing Director 410-498-5408 yaakov@midfieldre.com 3635 Old Court Rd Suite 403 Pikesville, MD 21208 www.midfieldre.com | info@midfieldre.com | (410)-324-6939 MENDEL DALFIN Director 410-916-9256 mendel@midfieldre.com Disclaimer: This report is for informational purposes only and is based on data from CoStar Group, Yardi, and other verified sources. Investors are advised to conduct independent due diligence before making investment decisions.