Jacksonville Multifamily Market Report
Jacksonville Key Findings
Past 12 Months | Source: CoStar Group
- 2Q24 marked the strongest quarter for absorption in Jacksonville within the last 10 years as around 2,500 units absorbed.
- Rent growth has declined during 2024, and should recover in the 2% to 4% range during 2025.
- Downtown Jacksonville has experienced the greatest change in rent growth, ranging between 1% and 2%.
- During the past five years, multifamily inventory in Jacksonville has increased by more than 20%.
By the Numbers
- Units Delivered: 8,243 ↓ from Q2 2024
- Units Absorbed: 6,781 ↓ from Q2 2024
- Sales Volume: $734M ↓ from 2023
Jacksonville Demographics
Past 12 Months | Source: CoStar Group
- Unemployment Rate: 3.7%
- Current Population: 13,877
- Households: 5,608
- Average Household Income: $49K
The employment market in Jacksonville is thriving, and currently has a low unemployment rate of 3.7% as of August 2024. So far this year, job growth has been led by the education and health services, leisure and hospitality, government, and construction sectors. Many employers are drawn here for the low cost of doing business, which has contributed to population growth.
Jacksonville Multifamily Market Performance
While renter demand has been strong in 2024, it has not been able to keep up with the units delivered. Over 6,000 units were absorbed throughout the past 12 months, while around 8,000 were delivered at the same time. The imbalance between the new supply and units absorbed has been cooling down, but is not likely to balance until 2025.
There are still 6,100 new apartments underway, but they will deliver in the Saint Augustine and Southside submarkets. However, much of the new incoming population has moved to this area, which will likely lead to quick absorption of these new units. The Southside submarket has also been one of the main areas that investors have set their sights on. Over the past year, about 35% of investments occurred in the Southside area.
Under Construction Properties
After an increased supply wave, construction began to decline by around 50% in the past year. There are 4,300 Class A units underway, which makes up the largest number of units being delivered in the market. Class B units are behind, with 1,700 new units on the way.
Sales Activity
More than 80% of all sales in the Jacksonville market have been from private and institutional investors. This transaction activity allowed the market to surpass $1.2 billion in sales volume for five consecutive years. Saint Augustine and Arlington saw frequent transaction activity, with 50% of all sales volume in the past 12-month period.
