This week’s multifamily roundup highlights the factors driving rental demand, trends in small asset inventory and how rents performed in all 50 states. First, Mortgage Bankers Association reports that renter household growth has outpaced that of owner households, rising by nearly 10 million over the past decade. Next, Bloomberg notes that companies are finding value in developing built-to-rent homes in order to meet growing demand for leasing over owning. Arbor’s Chatter blog takes a look at rental inventory growth across U.S. metros, observing that smaller cities are seeing greater increases in small apartment building supply. Then, HousingWire breaks down how rents performed on a state-by-state basis, according to new data from Abodo. Finally, Multifamily Executive discusses the promising outlook for the apartment sector, which saw transaction activity increase 14.7% year-to-date in the third quarter of 2018.

john-salzarulo-64395-unsplash

Demographics, Socioeconomics Driving Multifamily Housing Demand

Mortgage Bankers Association – January 4, 2019

“New renter households increased by nearly 10 million over the past 10 years, significantly outpacing the owner segment, which reported minimal growth.”

Homebuilders See a Bright Spot in the Gloom—And It’s Rentals

Bloomberg – January 4, 2019

“Companies that build rental houses are emerging as a bright spot, raising new capital to accelerate growth on a bet that it’s easier to lease homes than sell them.”

Small Asset Multifamily Activity Shifts Toward Smaller Metros

Arbor Chatter – January 2

“Rental inventory growth for year-end 2017 showed a clear contrast between the largest and smallest U.S. metros, with the latter displaying a greater increase in small asset multifamily inventory.”

Here’s What Rents Did in all 50 States in 2018

HousingWire – January 2, 2019

“As we’ve now officially crossed over to 2019, we can take a full look back at what happened in the multifamily industry in the year that just passed.”

2018’s Record Deal Volume Suggests Positive Trajectory for 2019

Multifamily Executive – January 2, 2019

“If 2018’s good fortune is any indication, the new year looks bright for apartment developers and investors hoping to capitalize on multifamily assets in 2019.”