The U.S. housing market reflects a patchwork of local needs, preferences, and geographies, creating distinct storylines. Across the country, many significant shifts have occurred over the last five years, an analysis of U.S. Census Bureau data shows. More expensive housing markets tend to support higher percentages of rental households, and in fast-growing metros, rentals have become a highly effective and flexible way to house new residents.

SFR Construction Hits Another All-Time High as Structured Capital Markets Rebound
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.
Key Findings:
- SFR/BTR construction starts surged to another new record high.
- SFR CMBS activity in 2024 is on pace to triple last year’s total.
- Cap rates rose to their highest point in more than six years as rent growth
remained healthy.