Arbor Introduces Proprietary Single-Family Rental Research The market for single-family rentals (SFRs) in the United States has seen transformational change in recent years. Higher per-unit acquisition costs and difficulties associated with managing and maintaining dispersed properties have limited both institutional penetration into the SFR sector and any semblance of market scale. However, in recent years the asset class has been gaining ground among investors. Underpriced single-family assets following the financial crisis, technological advancements boosting operating efficiencies and a budding investor pipeline are all contributing to increased interest in SFR investment. Institutional capital sources are beginning to jump off the sidelines and into the suburbs. For exclusive insights on the SFR market, download our “Q1 2019 Single-Family Rentals Investment Trends Report.” Explore key SFR highlights, including: Occupancy Trends Cap Rates LTVs & Debt Yields Build to Rent Construction
Q1 2019 marked the 37th consecutive quarter of rent growth for the U.S. multifamily market. Vacancy remained at historic lows, amid high levels of development activity. At the same time, cap rates continued to decline. Here’s a quick look at the U.S. multifamily market finance and investment benchmarks for Q1 2019.
While significant income differences remain between owner and renter households, growth in income is the fastest among apartment renters. This bodes well for short-term multifamily operating fundamentals.
Adjusted estimates of 2018 lending volume of small balance loans jumped to $53.1 billion, the highest level of activity in Chandan Economics’ post-financial crisis estimates. Initial readings for the first quarter of 2019 totaled an annualized $48.7 billion. Here’s a quick look at the small balance multifamily finance and investment benchmarks for Q1 2019.
The top metros attracting Millennial renters from other states are typically medium-sized with relatively fast-growing economies.
Whether a period of economic weakness is years away or just around the corner, the small balance multifamily sector is projected to remain healthy in 2019. Read our Q1 2019 Small Balance Multifamily Investment Trends Report for insights on the market.
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Those considering investment in the residential arena of commercial real estate, should consider single-family rentals (SFRs). Here are some reasons why.
