The Atlanta multifamily market is in transition. After several years of aggressive construction, rising rents, and bullish investment activity, the landscape is shifting, and property owners are feeling the pressure.
If you’re holding multifamily assets in Atlanta, this is not the year to blindly accept your property tax assessment. Let’s look at why.
Supply Surged. Demand Lagged.
Our Atlanta multifamily market report found that between 2022 and 2024, the city experienced a flood of new apartment supply, with over 21,000 units delivered in the past 12 months alone. Absorption has finally started catching up in 2025, but the damage to the vacancy rate is already done.
Vacancy rates more than doubled from ~6% in 2021 to 12.1% today
4 and 5 Star (Class A and B) properties are sitting at 12.8% vacancy, despite strong demand, due to oversupply
This isn’t just a temporary blip. Forecasts indicate that vacancies will remain elevated above the 10-year average for several years.
Rent Growth Has Gone Negative
Rising vacancies have predictably put downward pressure on rents. According to the report:
Asking rents fell by 1.0% year-over-year
Rent growth has been negative for 8 straight quarters
High-end properties are offering months of free rent, driving effective rents even lower
Your net operating income (NOI) declines when rents fall and occupancy stalls. But many county assessors haven’t caught up — they may still be valuing your asset based on 2021 to 2022 peak conditions.
Buyers Are Backing Off; So Should Your Assessor
Transaction volumes have cooled significantly:
Only $5B in multifamily sales in the past year, down from $13.5B in 2022
Cap rates are rising, and buyer appetite is shifting to distressed or high-barrier-to-entry opportunities
Put simply: investor sentiment has changed, and values are being reassessed in the private market. If county assessments haven’t followed suit, you’re likely overpaying.
Why This Matters
Assessors often rely on trailing income, outdated comps, and static models that don’t account for sudden changes in vacancy or rent. If your property is experiencing:
Flat or negative rent growth
Occupancy challenges
Increased leasing concessions
Cap rate expansion
NOI compression
…you have a strong case for a property tax appeal.
Let’s Talk
At Ownwell, we use real-time market data and NOI analysis to challenge unfair property tax assessments.
With Atlanta’s market in flux, now is the time to protect your bottom line.
Book a free property tax review today and see how much you could save.
