Articles

Single-Family Rental Investment Snapshot — October 2024

As we move through the second half of the year, SFR’s structural strengths give it a solid foundation to grow as economic conditions continue normalizing.

Articles

Top 10 Markets for Undergraduate Apartment Renters

For undergraduate students nationwide, apartments fill the gap in campus housing. Off-campus housing offers a better value proposition in many markets, giving students more space at a competitive price. In other markets, students pursue apartments due to insufficient dormitory space. As colleges and universities acquire and build to keep pace with enrollment, the supply-demand imbalance has created new opportunities for multifamily real estate investment.

Investment

Not Waiting for Normal

Even with the market in flux, opportunities continue emerging for well-positioned investors. Historically, some of the best multifamily deals were closed in down cycles or during the upswing to normalcy. Arbor’s Special Report Fall 2024 details why the current economic climate is ripe for investment.

Articles

How the Changing Labor Market Could Impact Multifamily

Following strong post-pandemic gains, the U.S. labor market has cooled over the past few months, placing multifamily investors in a position to realize the benefits of less restrictive monetary policy.

Analysis

Small Multifamily Investment Snapshot — September 2024

Small multifamily continued to moderate through the midpoint of 2024, amid strong demand despite an elevated interest rate environment and rising property-level yields.

Current Reports

Single-Family Rental Investment Trends Report Q3 2024

The single-family rental (SFR) sector’s performance surged again last quarter, demonstrating its ability to thrive in all economic cycles. SFR construction continued its record-breaking ascent as CMBS activity blossomed. Arbor’s Single-Family Rental Investment Trends Report Q3 2024, developed in partnership with Chandan Economics, examines the sector’s fundamentals as would-be homeowners weigh the rent-vs-buy calculation.

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Articles

Could Build-to-Rent Be a Solution to Housing’s ‘Missing Middle’ Problem?

Did you know that at the same time many renters navigate a housing market with limited affordable options, new apartment development continues to be held back by World War II-era zoning restrictions? In many localities, regulations introduced in the mid-1940s have choked the multifamily pipeline for decades, creating a “missing middle” that leaves low-income renters in a lurch.

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Small Multifamily Investment Snapshot — September 2024

September 14, 2024

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Small multifamily continued to moderate through the midpoint of 2024, as strong demand and lending support from government-sponsored enterprises (GSEs) counterbalanced an elevated interest rate environment and rising property-level yields.

Although loan activity retreated slightly, distress has remained limited within the small multifamily subsector. According to Freddie Mac, 97.2% of its small balance multifamily loans were current through May 2024 — a decrease of about two percentage points from the end of 2022. The share of the outstanding loan balance that has either reached foreclosure or REO (real estate owned) was just 0.2%, signaling that lenders and borrowers are increasingly working together to cure non-performance.

With a consensus of opinion building that the Federal Reserve will cut interest rates multiple times by year’s end, a macroeconomic inflection that would accelerate a normalization could be on the horizon.

Access key highlights in our latest Small Multifamily Investment Trends Report.

Interested in the multifamily real estate investment market? Contact Arbor today to learn about our array of multifamily, single-family rental, and affordable housing financing options or view our multifamily articles and research reports.