Ivan Kaufman’s Blog 2017-07-19T16:32:21+00:00

Ivan Kaufman’s Real Estate Blog

Weekly Roundup: December 15, 2017

Trending locations for multifamily developments, and the characteristics of candidates who are likely to rent, are analyzed throughout this week’s selection of industry news pieces. First, National Real Estate Investor covers multifamily in suburban submarkets, and how these suburban locations are accounting for most of the inventory’s growth. Next, Axiometrics explores how the apartment market is benefitting from the growing number of young adults who are delaying marriage. The National Apartment Association speaks to how amenities will continue to evolve to meet the complex social needs of residents in 2018. Then, MPF Research identifies the U.S. metro markets that continue to lead the way in issuing multifamily permits. Finally, CNBC delves into the significant influence of baby boomers on rental growth, and the reasons behind their choice to rent.   

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Has the Multifamily Market Growth Been Stronger in Urban or Suburban Settings?

NREI – Dec. 12

“Few recognize that the bulk of the apartment inventory is located in suburban submarkets, either within the city limits or outside.”

Marriage, Family Household Statistics Could Help Explain Propensity to Rent

Axiometrics – Dec. 12

“One reason commonly thought to contribute to the increased propensity to rent among millennials is the fact that many young adults are choosing to marry later in life, delaying combining households and the lifestyle that comes with it.”

Apartment CEOs Pick the Top Amenities for 2018

NAA – Dec. 11

“Offices are in and tennis courts are out as developers look to build places where residents can “want to be by themselves with others.”

Metro Leaderboard for Annual Permits Remains Largely Unchanged in October

MPF Research – Dec. 11

“The latest permits data shows national permit totals are plateauing. According to the U.S. Census Bureau, local governments across the country approved 416,000 units in the year-ending October 2017.”

 Older, Wealthier Americans are the New Renters

CNBC – Dec. 14

“The number of higher-income rental households has doubled in the last decade, according to a new report from Harvard’s Joint Center for Housing Studies, and that trend will likely increase in the coming years as more baby boomers downsize.”

Weekly Roundup: December 8, 2017

Changing homeownership views, amenity offerings and the growth in small loans are covered in this week’s selection of multifamily news highlights. To begin, Ten-X discusses the emerging trend of people strategically choosing renting over home buying because it aligns with their lifestyle. Next, RIS Media explores the idea of ‘surban’ development and how they are expected to experience growth by attracting residents who seek a mixture of urban and suburban life. Then, ALEX Chatter investigates the expansion of millennial apartment demand with insights on how their building preferences are largely dependent on age. Property Management Insider examines the value of implementing amenities and services that foster a sense of community among residents. Finally, the Mortgage Bankers Association examines how the small balance multifamily loan market continues to grow.

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Renting has Growing Allure for Would-Be Homebuyers

Ten-X – Dec. 5

“For a lot of people, real estate ownership and all that it traditionally represents in terms of success and status has become much less interesting. In its place, renting has gained new appeal.”

2018 Real Estate Trends to Watch: ‘Surban’ — That Sweet Spot Between City and Suburb

RISMedia – Dec. 4

“Surban refers to a suburban area that has the feel of an urban area, with walkability to great retail and restaurants from a house or apartment, and it’s what all the real estate trend predictors are talking about.”

The Changing Rental Preferences of Aging Millennials

ALEX Chatter – Dec. 7

“Segmenting the Millennial market by younger (18-25 years) and older (26-33 years) renters shows differences in building preferences, which are likely to play out fully in the coming years.”

Top Multifamily Amenities and Services to Consider Next

Property Management Insider – Dec. 4

“The expense and implementation of smart technology can lose its luster compared to a hands-on environment that promotes the resident experience.”

Steady Rise in Small-Balance Lending

Mortgage Bankers Association – Dec. 5

“Small-balance multifamily lending fell 3.1 percent during the quarter, but lending volume through the first three quarters was 7.3 percent higher than during the same period last year.”

 

Weekly Roundup: December 1, 2017

Growth in the already high performing multifamily market and predictions for future shifts in amenity offerings are explored in this week’s news top industry news stories. To start, the Mortgage Bankers Association reports that delinquency rates for loans have reached a 24-year low, proving that commercial and multifamily mortgages are performing extremely well. Then, National Real Estate Investor investigates how improved fundamentals and robust investment sales are contributing to a stable outlook in multifamily. ALEX Chatter considers the possibility of a future where parking as an amenity is no longer necessary due to transportation transformations. Also from ALEX Chatter, an exploration of how increasing demand factors, corporate relocations and new supply are working together to generate stability and strength in the Chicago market. Finally, Real Estate Weekly reveals the most important amenities that renters will be searching for in apartments as we enter 2018.

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3Q Commercial/Multifamily Delinquencies Remain Low; Bank Delinquencies Match Lowest on Record

Mortgage Bankers Association – Nov. 30

“Strong property fundamentals and values and ready credit availability are all helping contribute to this extraordinary performance.”

Exclusive Research Reveals Stable Outlook for the Multifamily Sector

NREI – Nov. 29

“While sentiment has dampened slightly, investors still prefer apartments over other commercial real estate property types.”

Autonomous Vehicles and the Future of Multifamily Parking

ALEX Chatter – Nov. 27

“With the introduction of autonomous cars, transit-oriented development and the rise of ride-sharing companies, it seems inevitable that parking will take somewhat of a back seat.”

Chicago Multifamily Market Update: Deal Volume Up as Investors Chase Yield

ALEX Chatter – Nov. 27

“The Chicago multifamily market remained strong during Q3 2017, as rents continued to set new record highs. Rising vacancy rates remained in line with the market’s historical average, despite a historically high influx of new supply.”

List of 2018’s Must-Have Apartment Amenities – and Why it Might Surprise You

Real Estate Weekly – Dec. 1

“It is important to assess not only what tenants want but what they expect to pay for various features and amenities. The following is an overview of some of the top items on the minds of U.S. apartment renters.”