The Raleigh-Durham region continues to be one of the premier pockets of growth in the Southeast, thanks to robust employment opportunities and a steady pipeline of renters graduating from area schools including Duke University, University of North Carolina-Chapel Hill and North Carolina State University.
Multifamily developers have been more than eager to help satiate the demand for housing in the area in recent years. According to Yardi Matrix, the Raleigh-Durham region had nearly 14,500 apartments deliver in 2024. The research platform also reported that approximately 8,600 more units came on line in the first three quarters of 2025, which represents a 4.2 percent growth rate compared to the market’s existing inventory.
Like many of its peer markets in the Sun Belt, the Raleigh-Durham region is working its way through the excess supply, which is extending the lease-up period for newer properties.
“For projects delivered in late 2023 into early 2024, absorption has slowed compared to historical norms,” says Lisa Narducci-Nix, director of business and property development at Drucker + Falk.
Southeast Real Estate Business recently caught up with Narducci-Nix to discuss the health of the Raleigh-Durham apartment market, as well as larger operational trends. The following is an edited interview:
Southeast Real Estate Business: The theme of oversupply seems to be ubiquitous across the Sun Belt. How would you assess the health of Raleigh-Durham from a supply-demand standpoint?
Lisa Narducci-Nix: Raleigh-Durham has certainly felt the impact of elevated deliveries over the past couple of years, but demand has remained resilient. Even with this record supply, the Triangle absorbed more than 11,000 units over the past 12 months — well above the norm. We also saw stabilized occupancy improve through the second half of 2025, which tells us the market is strengthening and working through that supply. When you pair that with strong population and job growth, the fundamentals remain very healthy, especially as the development pipeline begins to slow.
SREB: As a follow-up, what is the current occupancy level of Drucker + Falk’s managed properties in the Triangle region?
Narducci-Nix: Drucker + Falk currently manages just under 8,000 units across the Triangle, and our experience largely mirrors the broader market. Occupancy strengthened meaningfully in the back half of 2025, and as we enter the first quarter of 2026, our portfolio is sitting at approximately 93 percent occupied. Just as important, our forecast exposure has been steadily declining, which favorably positions our communities for improved rent growth as conditions continue to normalize.
SREB: Another major theme stemming from the discussions at our annual InterFace Multifamily Southeast conference was the extended periods of lease-up for new apartment communities. Some panelists said their lease-up periods have hovered more in the 24- to 36-month range as of late. Is that something that you’ve noticed/experienced for new properties coming on line in the region?
Narducci-Nix: Yes, that’s consistent with what we’ve seen. Where we might once have expected more than 20 move-ins per month during a lease-up period, we’ve more recently seen 13 to 17 per month on average. To illustrate that, one of our newer communities stabilized in about 16 months, but at an average pace of 14 units per month. With the bulk of new deliveries now behind us and the pipeline shrinking, we’re optimistic we will begin moving back toward a more traditional timeline.
SREB: What are some ways that operators and owners are boosting occupancy in both new and older vintage properties?
Narducci-Nix: Across the board, I hear that operators are laser focused on execution. For us, that starts with investing in training and support for our onsite teams. You have to consider that newer leasing professionals may have entered this industry during COVID when it was a period of strong demand and less competition, so leasing in today’s environment is much more challenging for them.
Retention is also a major focus for us given the concession market — if a resident stays, that’s one fewer apartment to lease. Resident experience, communication and community building all play a role there. Lastly, I would say that our marketing team has become increasingly data-driven, with close attention being paid to KPIs [key performance indicators] to ensure marketing dollars are truly performing.
SREB: What submarkets/neighborhoods are considered the most attractive in the Raleigh-Durham region from a demand standpoint among the renting cohort?
Narducci-Nix: We continue to see strong performance in South Cary/Apex submarket for sure, which is highly lifestyle-driven. Northwest Raleigh has also been a bit of a standout, largely due to high barriers to entry and limited new development, which has helped keep demand and occupancy strong.
SREB: What is your general outlook for the Raleigh-Durham multifamily market in 2026?
Narducci-Nix: We’re very optimistic about 2026! As new supply continues to taper and be absorbed, we expect vacancy to tighten and rent growth to regain momentum. Overall, the fundamentals in the Triangle point toward improved performance across both stabilized assets as well as new communities. Having operated in the Triangle for six decades, we’ve ridden these market waves before, and this feels like the front end of the next upswing.
— This article was originally published in the January 2026 issue of Southeast Real Estate Business.