Multifamily construction is pulling back, creating a real opportunity for developers willing to move now.
According to data just published by Apartments.com and CoStar, new apartment construction starts declined by 55,000 units nationwide in the first quarter of 2026 — down 73% from the peak in early 2022. The national pipeline has shrunk to 579,000 units under construction, levels not seen since mid-2010.
What does that mean for developers?
Less competition, stronger future demand, and a market that will be undersupplied by the time your next project delivers. The question isn’t whether to build, it’s how to finance it in an environment where conventional lenders have tightened up.
That’s where FHA comes in and why experienced developers are taking a closer look.
FHA financing offers lower fixed rates, higher leverage, and non-recourse terms, giving you the structure to move forward confidently when other capital sources are sitting on the sidelines.
At AGM Financial Services, we help multifamily developers navigate FHA programs from application through closing. If you have a project in the pipeline or one you’ve been waiting to advance, now is the right time to explore your options.
About AGM Financial Services, Inc.
Family-owned with over 30 years of experience, AGM has closed over $10 billion in FHA-insured multifamily project loans nationwide. We underwrite, fund, and service all of our loans. Developers and owners can count on AGM to be accessible, transparent, consistent, and ready to lend. From new construction to substantial rehabilitation to acquisition and refinance — for both market-rate and affordable projects — we can get the deal done. To learn more about AGM, call 800.729.4266 or visit agmfinancial.com.