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Walker & Dunlop Releases 2025 Student Housing Report

via Business Wire

Walker & Dunlop, Inc. released its market trends and analysis of the current market landscape in its annual student housing report today. Ranked as Fannie Mae’s #1 and Freddie Mac’s #2 Student Housing Lender in 2024, the team brings unmatched expertise and delivers this valuable insight to both developers and investors.

Fueled by a rise in university enrollment, a market rebound in 2024, and changing student preferences, the student housing landscape has evolved into a resilient asset class, with rent growth consistently outperforming conventional multifamily housing.

“While high-end features still play a role, today’s students and their families are more focused on value, convenience, and a sense of community,” said Will Baker, senior managing director of Student Housing at Walker & Dunlop. “This evolution reflects a larger industry trend: a shift away from lavish, attention-grabbing perks toward thoughtful, student-first design that enhances academic success and quality of life.”

Key Factors Shaping Student Housing in 2025:

  • A New Generation of Student Housing: Modern student housing is shifting from extravagant amenities to functional, well-located properties that support students’ academic and social needs.
  • Transaction Reporting: After a sharp decline in 2023, student housing transactions rebounded in 2024 and are projected to rise further in 2025, driven by stabilized rates, institutional capital, growing enrollment, and significant loan maturities.
  • Fastest-Growing Flagship Universities: High-growth university markets, particularly in the SEC and increasingly the Big Ten, are leading student housing demand, with investors watching how Power Four realignments will shape the landscape.
  • Student Housing Supply and Demand Variation: Limited new development and continued high demand are keeping occupancy rates strong and rents rising, despite ongoing challenges in securing equity and financing.

“In 2024, student housing transaction volume rebounded to $8.5 billion, a 43% year-over-year increase, as investors were drawn to the sector’s strong fundamentals, including rising enrollment, resilient operations, and attractive yields,” said Christopher Epp, managing director of Walker & Dunlop Investment Sales. “With continued momentum and a concentration of activity in high-growth Southeastern markets, we expect student housing to outperform other asset classes moving forward.”

With a total financing volume exceeding $13.1 billion and total property sales volume surpassing $10.2 billion in student housing, Walker & Dunlop is a trusted partner in the industry and a leader in shaping the future of student housing financing.

For insights on student housing and to explore key trends shaping the market, download Walker & Dunlop’s 2025 Student Housing Outlook report here.

About Walker & Dunlop

Walker & Dunlop (NYSE: WD) is one of the largest commercial real estate finance and advisory services firms in the United States and internationally. Our ideas and capital create communities where people live, work, shop, and play. Our innovative people, breadth of our brand, and our technological capabilities make us one of the most insightful and client-focused firms in the commercial real estate industry.

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