Multifamily News and Insights

With the latest release of the Consumer Price Index (CPI) report from the U.S. Bureau of Labor Statistics (BLS), policymakers and consumers alike found signs of inflation relief for the first time in a long time. Despite the CPI’s overall improvement in October, one notable price category is still seeing rising inflation: rent of primary residence. The annual growth rate for the rent component of the CPI has now increased for 15 consecutive months.

The single-family rental (SFR) market maintained a favorable outlook in the third quarter of 2022 as the national housing market began cooling. Amid economic headwinds, SFR is well-positioned as a primary alternative for would-be homebuyers priced out of ownership in today’s high-interest-rate housing market.

The U.S. multifamily market continued to expand during the third quarter of 2022, although at a more modest pace. Additionally, some new areas have shown up on the list of top rent growth markets.

With investors now seeking inflation protection, the small multifamily sector continues to see gains. Arbor’s new quarterly Small Multifamily Investment Trends Report, published in partnership with Chandan Economics, sheds light on key trends, including firm cap rates, climbing valuations, and elevated originations, despite tightening underwriting standards.

The U.S. multifamily market continued to expand during the third quarter of 2022, although at a more modest pace.

When Americans go to the ballot box on November 8, the congressional map will look slightly different than it has for the past decade. Six states picked up seats in the House of Representatives: Colorado, Florida, Montana, North Carolina, Texas, and Oregon. The results of the last five years (2018-2022) of the U.S. Census Bureau’s Current Population Survey ASEC explore the reasons households provided for moving to those states that will be gaining more representation in Washington, D.C.

All of the top 50 metropolitan areas in the U.S. registered unemployment rate improvements during the 12 months ending in August 2022. Los Angeles led the country with the largest decline in its unemployment rate, shaving off 3.7 percentage points from one year ago. Riverside (-3.3%), Detroit (-3.2%), San Diego (-3.1%), and Sacramento (-2.8%) all followed closely behind with sizable declines.

The increased frequency of major hurricanes brings into question whether robust in-migration patterns will hold in the face of growing climate risks. While there is a growing concern that the increase in extreme weather events could dampen housing demand in at-risk or effected areas, history displays a different pattern.

Arbor’s Affordable Housing Trends Report Fall 2022, developed in partnership with Chandan Economics, examines the affordable housing market’s growth trajectory in a challenging economic climate. It examines key programs, including the Low-Income Housing Tax Credit (LIHTC) and the Housing Choice Voucher (HCV), likely to influence the market’s performance in the coming year.

In this video, Sam Chandan, Founder of Chandan Economics, provides a top-level overview of Arbor’s latest report, Top Opportunities in Large Multifamily Investment 2022. He explains how this report measured and ranked U.S. markets’ strengths and weaknesses in a turbulent economic environment.