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.

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.

Articles

Build-to-Rent Construction Continues Its Record-Breaking Ascent

Increasingly, single-family rental (SFR) operators have been relying on build-to-rent (BTR) development to bridge the housing gap, accelerating the momentum of SFR construction through 2024’s halfway point. Both total SFR/BTR housing starts and BTR’s share of all single-family housing starts reached new record highs in the second quarter, setting the stage for another banner year.

Current Reports

Small Multifamily Investment Trends Report Q3 2024

The small multifamily outlook continues to brighten as more signs indicate a normalization has already begun. In the second quarter, originations activity and borrowing conditions improved as completions sat at a five-decade high, Arbor’s Small Multifamily Investment Trends Report Q3 2024, developed in partnership with Chandan Economics, shows. While the subsector’s fundamentals are trending up, it still has room for growth when interest rate relief arrives.

Articles

Top Markets for Multifamily Permitting in 2024’s First Half

While the overall pace of new multifamily permitting per capita in the U.S. slowed recently, it has picked up momentum in pockets of the country, especially the Midwest. In the first two quarters of 2024, Madison, WI, Columbus, OH, and Omaha, NE, were among the major metropolitan markets posting solid permitting gains, another sign of multifamily’s strength in all cycles.

Analysis

Top U.S. Multifamily Rent Growth Markets — Q2 2024

The U.S. multifamily market followed the quick pandemic contraction with a strong recovery, and has now normalized into a more stable cycle. Demand remained strong across the country, with a wide variety of markets among the leaders for rent growth.

Articles

Affordable Housing Supports Positive Physical and Mental Health

Did you know that more U.S. renters now spend over 30% of their income on housing and utilities than at any other time on record? Limited affordable housing options not only increase the rent burdens of low-income tenants but disrupt physical and mental health, underscoring the need for the creation and preservation of more affordable housing units nationwide. Quality affordable housing adds stability to communities and supports healthier environments that can significantly improve well-being.

Analysis

U.S. Multifamily Market Snapshot — August 2024

After skyrocketing through a boom cycle over the past two years, the U.S. multifamily market settled into a cycle of stabilization in the first half of 2024. Rents held steady, occupancy increased, and vacancy rates remained in line with historical averages, while investor sentiment remained positive.

General: 800.ARBOR.10

Yahoo! Finance: Ivan Kaufman on Arbor’s Rental Assistance Program

Yahoo! Finance: Ivan Kaufman on Arbor’s Rental Assistance Program

Arbor Realty Trust Inc. (NYSE:ABR) developed a unique rental assistance program to help tenants hit with financial difficulties resulting from COVID-19. The company’s Chairman and CEO Ivan Kaufman spoke with Yahoo! Finance’s Alexis Christaforous and Brian Sozzi and explained how Arbor’s program will financially assist tenants across the country, while helping to maintain financial liquidity and stability in the housing market.

With the $2 million Arbor Rental Assistance Program (ARAP), Arbor is providing $1 million, matched with borrowers’ funds to provide interest-free advances to tenants to pay their rent at Arbor-financed properties. Tenants have up to three years to pay back the funds.

“What we did was reach out to our ecosystem of borrowers and ask how can we leverage our capital? How could we leverage your capital? How could we get to those who need the money?” Kaufman explained. “What we’re also seeing is tenants really do want to pay their rent. Tenants do want to be current. But they need help. We’re here to help them and in a way that when they can make financial ends meet, it won’t be painful.”

He noted that 99% of Arbor’s borrowers were making their payments. However, private capital is needed to fill gaps, supplementing governmental programs. As one of the country’s leading multifamily lenders, known for its strong relationships with its network of borrowers, Arbor has the infrastructure to connect with renters and their families who have suffered hardships as a result of the coronavirus.

Kaufman also created the program to help keep the market liquid, and to prevent mortgage foreclosures and a devaluation of real estate that would destabilize the economy. “My goal is not just simply looking at Arbor and our borrowers but looking at the universe in total. If we can get 1,000 borrowers and 1,000 other lenders to do what we’re doing, we’re talking about billions and billions of dollars to reach those who are in need,” he said. “And that’s the message. How do we get to those who have been most impacted?”

Lenders and borrowers have access to tenants who are hard-pressed by the unprecedented effects of COVID-19. He reasoned that private industry could assist the government in effectively averting another economic crisis.

To watch the full interview, click here.

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Learn more about ARAP and Arbor’s loan programs. Contact Arbor today to speak with an originator about our multifamily financing options.