Urban America continues moving at unprecedented speed. As of 2025, 83% of Americans call cities home—a number of analysts expect it to climb to 89% by 2050. This steady march toward urban living reshapes the real estate landscape, especially for multifamily housing. But urbanization tells only part of the story. The rise of remote work, evolving lifestyle preferences, and a renewed focus on community-centric living converge to create powerful tailwinds for multifamily investors.
Let's unpack these macro trends, identify which U.S. markets position themselves best to benefit, and explore how investors can align their strategies to capture long-term value.
Urbanization: America's Ongoing City Surge
Urbanization isn't new, but its pace and scale prove remarkable. In just a few decades, the U.S. has transformed from a predominantly rural nation to one where city living defines the norm. Today, more than four out of five Americans reside in urban areas—a figure that demographers project will grow by another 6 percentage points by 2050.
This migration transcends simple population density. Urban centers magnetize jobs, culture, and amenities. They attract young professionals, families, and retirees who seek the vibrancy and convenience that cities offer. For multifamily investors, this translates into sustained demand for rental housing, especially in markets with robust economic growth and infrastructure investment.
Remote Work: Redefining Where—and How—We Live
The pandemic didn't invent remote work, but it certainly accelerated its adoption. Today, millions of Americans enjoy the flexibility to work from anywhere, and this newfound freedom fundamentally alters housing preferences.
Remote work has increased demand for flexible living spaces that offer community amenities and work-from-home capabilities. Renters no longer tie themselves to living near central business districts; instead, they prioritize apartments with high-speed internet, dedicated workspaces, and communal areas that foster connection. Properties that deliver on these needs command premium rents and experience lower vacancy rates.
Lifestyle Shifts: The Rise of Community-Centric Living
Alongside urbanization and remote work, Americans rethink what they want from home. Shifting preferences now favor walkable neighborhoods, access to green spaces, and community-centric amenities. Residents want more than just a place to sleep—they seek a sense of belonging, wellness, and convenience.
This shift drives demand for multifamily properties that offer:
- Fitness centers and outdoor recreation areas
- Co-working lounges and private offices
- Social programming and communal kitchens
- Proximity to parks, restaurants, and public transit
Developers and operators who curate these experiences win the loyalty of modern renters—and generate outsized returns for investors.
Which Markets Stand to Gain the Most?
While urbanization represents a national trend, not all cities position themselves equally. Some markets stand especially well-positioned to benefit from these macro shifts, thanks to their strong job growth, lifestyle appeal, and business-friendly environments.
Here are eight U.S. markets where multifamily demand surges:
These cities attract both renters and investors, thanks to their dynamic economies and high quality of life. Secondary markets like Raleigh and Nashville prove especially appealing, offering strong growth potential with less competition than coastal gateway cities.
Investor Strategies: Aligning with Macro Trends
To capitalize on these powerful trends, multifamily investors should consider the following strategies:
Focus on markets with strong population growth and job creation. Target cities that demonstrate consistent economic expansion and attract new residents through employment opportunities.
Invest in properties offering flexible floor plans and high-quality amenities. Modern renters demand spaces that adapt to their changing needs and enhance their lifestyle.
Target communities with good access to transportation and green spaces. Connectivity and quality of life remain paramount in location decisions.
Consider properties that support remote work infrastructure. High-speed internet and dedicated workspaces have become essential, not optional.
Diversify investments across both primary and emerging secondary markets. This approach balances risk and growth potential while capturing opportunities in less saturated markets.
The most successful investors anticipate—rather than react to—changing renter preferences. By prioritizing flexibility, community, and connectivity, you position your portfolio for resilience and growth in the years ahead.
The Bottom Line
The convergence of urbanization, remote work, and lifestyle evolution fuels unprecedented demand for multifamily housing in the United States. As more Americans flock to cities and embrace flexible work arrangements, the need for adaptable, amenity-rich living spaces will only intensify.
If you're looking to align your investment strategy with these macro trends—or want to discuss which markets and asset types best suit your goals—I invite you to book a call with me. Let's explore how you can capitalize on the future of multifamily together.
Ready to invest in tomorrow's multifamily leaders? Book a call with our CIO, Michael Pouliot, and let's build your strategy for long-term growth – CLICK HERE TO BOOK A CALL.
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