Yardi Matrix’s recently released April 2025 Student Housing Report suggested that student housing performance is cooling. Specifically:
- Preleasing for the Yardi 200 schools was 67.1% in March, below the 67.7% reported in April 2024. Furthermore, the Yardi Matrix analysis said that the number could be revised downward as additional data is added.
- The average advertised rent was $918 in March, with rent growth at 2.5% year over year. “Rent growth has averaged 3.9% this leasing season, compared to 5.8% for the 2023-2024 season and 7% in 2022-2023,” the report said.
- New supply also fell, with 35,703 off-campus beds delivered in 2024, down from 44,746 beds that came online in 2023. Yardi Matrix forecasts that supply will fall to 32,100 beds in 2025 and 33,995 beds in 2026.
Yet enrollment growth accelerated, according to fall 2024 enrollment data. However, the greatest gains were found in primary state schools. The report said that tertiary state and private universities experienced the greatest enrollment decline.
Additionally, while enrollment has benefitted from robust demographics, it’s also threatened by political factors “likely to cause declines in foreign student enrollment and graduate enrollment during the current presidential term,” the report said.
Yardi Matrix analysts said that a slowdown in preleasing and new construction is impacting growth. “New supply is concentrated at the top Power 5 universities,” which include the University of Tennessee, Ohio State University, Arizona State University and the University of Minnesota. Off-campus housing serving these universities reported a slowdown in year-over-year rent growth.
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