Small Multifamily Investment Snapshot — March 2025

Driven by rising Treasury rates, measures of risk pricing and risk appetites for small multifamily moved in a more cautious direction at the end of the year, as cap rates and debt yields rose and loan-to-value ratios dipped. However, encouraging signals have persisted as asset valuations and origination volumes returned to modest growth.
Amid ongoing macroeconomic uncertainty, the small multifamily sector remains favorably positioned for stability as the structural need for affordable housing in the U.S. has supported the strength of the sector’s demand profile.
Read more details in our latest Small Multifamily Investment Trends Report.
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