In this video, Dr. Sam Chandan, Founding Director of the C.H. Chen Institute for Global Real Estate Finance at the NYU Stern School of Business and non-executive chairman of Chandan Economics, details the key takeaways of Arbor’s Special Report Fall 2023, which he co-authored with Ivan Kaufman, Chairman and CEO of Arbor Realty Trust.
The Federal Housing Finance Agency (FHFA) announced a $10 billion rollback of Fannie Mae and Freddie Mac’s volume cap for loan purchases for 2023 to $140 billion ($70 billion for each agency). This move aligns with industry expectations, given the anticipation of continued headwinds for the multifamily in 2024. Next year’s cap for the Government-Sponsored Entities (GSEs) is a reduction of approximately 7% from the $150 billion limit set for 2023 and a return to the level it was in 2021.
With the cost of living climbing, the need for affordable housing has become more urgent. Although demand continues to outpace available supply, multifamily investment in affordable housing is fortified by Low-Income Housing Tax Credits (LIHTC), Project-Based Section 8, and the Housing Choice Voucher (HCV) programs. Arbor’s Affordable Housing Trends Report Fall 2023, developed in partnership with Chandan Economics, examines the supply-driven programs and policies designed to improve supply at a point in time when federal gridlock has stalled many funding increases.
Multifamily rent growth in the U.S. continued to be distributed throughout a variety of markets, which contrasted with the previous two years when Sun Belt markets dominated the list.
FANNIE MAE® Workforce Housing Social Impact Financing: Sponsor-Dedicated Workforce Housing (SDW) V103123
FANNIE MAE® Workforce Housing: Sponsor-Initiated Affordability (SIA) V103123
Arbor’s Small Multifamily Investment Trends Report Q4 2023, developed in partnership with Chandan Economics, is a snapshot of a strong and resilient subsector continuing to navigate ongoing market dislocation. The report shows that distress has remained limited, even with valuations and measures of risk pricing in flux. As conditions start to stabilize, there are signs that deal activity is picking up.
The U.S. multifamily market held steady during the third quarter of 2023, as high mortgage rates and a lack of inventory in the housing market continued to drive rental demand.
Arbor offers flexible solutions customized for your growing rental portfolio.
Arbor provides single-family rental (SFR) portfolio investors with an array of short-term and long-term financing options to fit their investment strategies. Whether you are looking to develop a build-to-rent community, purchase properties and hold for the long-term or acquire investments to rehab, our loan products help you get there quickly and with certainty.
Single-family rentals represent more than half of the rental market
There is an immediate and growing demand for workforce and affordable housing
Single-family rentals have become one of the fastest-growing asset classes
Enjoy easier financing, faster closing times, appreciation tied to neighborhood growth and fewer regulations
Flexible options for seamless financing, including bridge-to-permanent loans
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Still growing your single-family rental portfolio? Arbor’s in-house bridge loan platform can provide you with the short-term financing necessary to scale up your portfolio in order to qualify for a long-term loan solution.