As the inventory of lower-priced homes continues to decline post-crisis, SFR investors are finding success and achieving greater yields in the build-to-rent market, noted several panelists at the recent IMN 7th Annual Single-Family Rental Investment Forum East in Hollywood, FL.
Major California and Florida cities headline the list of least affordable metros for apartment renters.
Overall rental affordability has shown marginal improvement across apartment properties, but cost burden concerns remain a big issue nationwide.
Arbor introduces its first Single-Family Rental Investment Trends Report, featuring proprietary SFR research. Read our Q1 2019 report for exclusive insights on the market. Topics include occupancy trends, cap rates, debt yields and 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.
Seniors are an increasingly important multifamily renter cohort, especially for smaller properties. Some retirees are choosing to downsize and rent for lifestyle reasons. Other seniors are working — and renting — longer.
Rent concessions are making a comeback in some of the nation’s top apartment markets as new multifamily developments enter their lease-up phase. In slower markets, concessions are part of everyday life for property managers.
Married households and families are well-represented in small property apartments. Reflecting that skew to larger households, smaller properties account for a relatively smaller share of single renters when compared to large buildings.
Education is arguably the strongest predictor of present and future levels of American workers’ income. As a result, there is a correlation between education attainment and the size of a building a renter is likely to call home.
In this closer look at Millennial renters, we find they are well-represented in small, low-amenity properties.
As we enter the fall buying season, it’s useful to look at pricing in major multifamily markets through the first half of the year. Not only in the priciest markets, but also in markets that may represent higher yield opportunities.