How should accredited individual investors approach private market real estate investing in 2026? In a market characterized by high inflation and potential volatility, multifamily is once again in focus.
The multifamily opportunity in 2026 is best understood not as a broad call for apartments, but as an eclectic thesis built on apparent dispersion across geographies, product types and strategies.
First, high mortgage interest rates and other factors have made renting the most realistic housing option for many; CBRE has announced a 105% monthly premium for purchase versus lease, demonstrating the continued expansion of its tenant pool.
At the same time, the development cycle is slowing: According to NAHB, multifamily housing starts are expected to decline to 392,000 units in 2026 and 367,000 in 2027, after completions reached a 38-year high of 608,000 units in 2024.
This combination supports a more selective investment strategy: favoring markets where rent growth remains positive, supply is more measured, and the potential for rent growth is less exposed to competition for luxury rentals.
With a diversified national portfolio of over 25,000 multifamily units and a 40-year operating history, Lightstone He has earned a reputation for identifying innovative and untapped opportunities in multifamily real estate. And take advantage of their mark, Lightstone He has unparalleled insights into macro fundamentals to guide underwriting decisions based on actual data.
What’s more, Lightstone Invest at least 20% in each Lightstone direct dealAnd aligning its results with investors.
Highly desirable multifamily investments are now within reach.
Why is geography more important than ever?
Actual asking rents posted back-to-back monthly gains in February 2026, per RealPage, but performance was widely uneven across regions.
The Midwest led annual rent growth at 2.0% in February 2026 and the Northeast followed at 1.5%, while the South was flat and the West declined 1.4%.
This pattern is consistent across all major data providers: Rents in high-supply markets like the Sun Belt and Western regions are expected to lag behind pre-pandemic levels, while low-supply markets like the Midwest and Northeast will see increases.
In practical terms, the current Midwest advantage means less competitive pressure from new deliveries, fewer concessions, and a healthier balance between demand and available supply. For investors, these conditions can produce more sustainable cash flows than markets where new luxury products are still in the liquidation phase.
to Lightstone More than 25,000 multifamily units under management, 14,304 in the Midwest and 10,325 in Michigan*. This focus aligns directly with areas where first- and third-party data show better rental performance and less severe pressure on supply.
Lightstone direct feature
In 2025, Lightstone The multifamily portfolio averaged 94% occupancy, recorded 2.7% year-over-year rental growth, and achieved 5.8% year-over-year ROI growth. Importantly, Lightstone is a vertically integrated owner/operator, with an in-house asset and property management team. Lightstone DIRECT individual investors benefit from this approach when investing in the same opportunities as multifamily Lightstone Striving with its own capital.
The run log shows this Lightstone It is already playing out on the path that this market rewards: regional focus, operating scale, renewal productivity, lease sophistication, and disciplined debt structure.
with Lightstone Livecertified individuals have access to the same multifamily opportunities that Lightstone pursues with its own capital.
Investors are working with an established real estate company with over $12 billion in assets under management and a four-decade track record in real estate that includes working through multiple recessions, credit crises, and recalls.
*As of 12/31/2025
All investments involve risks. Past performance does not guarantee future results.
For accredited investors only
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