Where we are & where we’re going: highlights from the 2026 Market Intelligence Report

Walker & Dunlop created the Market Intelligence Report (MIG) in response to a rapidly shifting market. In late 2022, multifamily transaction activity slowed to a near standstill, and many traditional market indicators lost reliability. Recognizing the need for a clearer, more actionable view of the investment landscape, our Capital Markets team built a report grounded in real-time transaction data, bid activity, and on-the-ground insight from active buyers and lenders.

The result was the MIG: a proprietary report combining Walker & Dunlop’s internal intelligence with industry data to help clients understand where capital was flowing, how underwriting was evolving, and which assets were likely to outperform. Initially used in client briefings and internal strategy sessions, the MIG quickly became a central resource for navigating the uncertainty of a high-rate, low-liquidity environment.

Today, for the first time, we’re sharing the MIG more broadly, making the 2026 MIG Market Update available to our wider network of investors, developers, lenders, and brokers. This edition captures a market in transition: more rational, more selective, and better aligned with long-term value creation.

You can learn more about the history and evolution of the MIG here. Below, we highlight two key takeaways that reveal why 2026 presents both opportunity and a clear mandate for disciplined investing.

Transaction activity is rebounding

One of the clearest signs of market normalization is the rebound in transaction volume. After a steep decline beginning in mid-2022, multifamily transaction volume now sits approximately 3% below the pre-COVID average, marking a material recovery from the cycle trough. This improvement reflects a convergence of factors: pent-up demand among sellers, clarity around interest rates, and liquidity returning from both equity and debt capital sources.

Why it matters

This recovery marks a shift from uncertainty to movement. Investors are no longer just waiting for rate cuts; they’re actively evaluating assets with realistic pricing, sound fundamentals, and near-term income visibility. The market has not fully recovered, but conditions have clearly shifted from paralysis to price discovery and selective capital deployment.

For buyers and sellers alike, this uptick in activity creates opportunities for renewed price discovery, recapitalizations, and strategic acquisitions in 2026.

Values are below replacement cost, creating a window for smart capital

One of the most compelling charts in the report illustrates the current pricing opportunity. Multifamily values remain approximately 20–30% below their peak, resetting basis across much of the market and creating a more rational starting point for new investment. At the same time, construction costs remain elevated, and development remains challenged.

This divergence between asset pricing and replacement cost creates a durable basis advantage for investors. In an environment where return generation is driven less by leverage and more by disciplined underwriting and operational execution, buying below replacement cost provides a meaningful margin of safety and long-term pricing support.

Value Reset Presents Opportunity

Why it matters

This divergence means that many high-quality assets are now trading below replacement cost, a condition that rarely lasts long. For investors, this creates a durable basis advantage and a margin of safety that wasn’t available during the last cycle’s peak pricing environment.

It also shifts the conversation from chasing growth to underwriting resilience. Investors focused on strong in-place cash flow, asset quality, and capital structure flexibility are better positioned to capitalize on this window. Capital remains active but highly selective, focused primarily on high-quality “Haves” assets.

Opportunity favors the informed

What sets the MIG report apart from other market updates is its foundation in proprietary insights: over $200 billion in closed transactions, thousands of buyer interviews, real-time bid tracking, and feedback directly from capital allocators across the risk spectrum. It’s not just data; it’s direction.

The latest MIG report emphasizes that this is not a "wait and see" market. It’s a moment that rewards informed, intentional action. The best opportunities will go to those who understand where capital is flowing, how values are resetting, and where fundamentals are positioned to recover.

Download the full 2026 MIG Market Update

Whether you're underwriting your next acquisition, evaluating portfolio strategy, or advising clients through this phase of the cycle, the MIG report is built to sharpen your perspective and your decision-making.

Download the 2026 MIG Market Update and see where the multifamily market is heading, and how to get there.