News
November 24, 2025

Texas Leads U.S. Multifamily Boom

Construction Owners Editorial Team

Texas continues to strengthen its reputation as the construction hub of the country, claiming four spots in a nationwide ranking of cities building the most multifamily housing. The list, released by The Daily Overview, highlights the sharp rise in apartment development across the state as demand intensifies due to population growth, job expansion, and rising housing costs.

Austin claimed the No. 1 position nationwide, driven by surging population inflows, a competitive tech economy, and a wave of large-scale, amenity-rich residential projects reshaping the skyline. Developers in the capital are increasingly targeting young professionals, remote workers, and growing families seeking walkable, mixed-use communities.

Courtesy: Photo by  Guilherme Cunha on Unsplash

Dallas followed at No. 2, supported by a robust job market and continued corporate relocations. With new residents pouring into the metro, developers are responding with high-rise residential towers, large mixed-use communities, and transit-oriented projects that integrate retail, offices, and housing.

Houston secured No. 9, where local leaders and developers are strategically using multifamily construction to combat affordability challenges. As the region’s economy diversifies into energy tech, healthcare, and logistics, demand for both market-rate and affordable apartments is accelerating. Suburban districts around Houston are seeing a surge in mid-rise multifamily developments designed to serve workforce housing needs.

Rounding out Texas’ placement, San Antonio earned No. 10 due to its rapidly rising home prices and strong job growth. The city’s multifamily pipeline includes both high-end complexes near urban cores and new affordable housing initiatives that address cost-sensitive renters. This dual strategy reflects San Antonio’s push to serve a diverse, expanding population.

Why Texas Dominates Multifamily Development

The state’s strong performance reflects a combination of demographic and economic forces that few other regions can match:

  • Sustained in-migration from other states
  • Major corporate relocations and business-friendly policies
  • Growing demand from younger renters and first-time workers
  • Competitive land availability compared to coastal markets
  • Rapid economic growth across technology, energy, healthcare, and logistics

Together, these trends allow Texas to “absorb” growth without collapsing under housing pressures seen in markets like California and New York.

Full Ranking (The Daily Overview)

  1. Austin, Texas
  2. Dallas, Texas
  3. Phoenix, Arizona
  4. Atlanta, Georgia
  5. Nashville, Tennessee
  6. Charlotte, North Carolina
  7. Denver, Colorado
  8. Orlando, Florida
  9. Houston, Texas
  10. San Antonio, Texas
  11. Seattle, Washington
  12. Portland, Oregon
  13. Salt Lake City, Utah
  14. Boise, Idaho
  15. Raleigh, North Carolina

Analysts say the boom signals a broader shift in national housing patterns. As more Americans relocate to high-growth, lower-cost states, multifamily development is becoming a key tool to alleviate affordability challenges and sustain economic expansion. Texas markets are expected to maintain strong momentum into 2026 as developers continue building dense, mixed-use communities aligned with changing lifestyles and work trends.

Originally reported by Art Benavidez in Virtual Builders Exchange.

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