This week’s multifamily roundup features insights on price growth across U.S. metros, the leading cities for job creation, and the small balance multifamily market’s performance in Q2 2018. First, Real Capital Analytics reports that after years of synchronized movement during the Global Financial Crisis and the corresponding recovery, U.S. metros’ price growth is diverging. Then, Real Page discusses the cities that contributed the most to the nation’s 16.2% job growth since the end of the recession. Arbor’s Chatter blog provides a snapshot of the latest investment trends in the small multifamily arena in the second quarter. Next, Multifamily Executive notes that while vacancy rates are expected to rise, rent growth should remain positive for the foreseeable future. Finally, NREI takes a look at why multifamily investors continue to accept low cap rates even as interest rates rise.

annie-spratt-597593-unsplash (1)

Price Growth Across US Metros Diverges

Real Capital Analytics – October 4, 2018

“After years of synchronized movement during the Global Financial Crisis and into the later stages of recovery, U.S. metros are now responding to their own local and individual dynamics.”

Job Growth Leaders for the Current Cycle

RealPage – September 27, 2018

“The U.S. job count has grown by nearly 15.8 million positions, or 16.2%, since the end of the Great Recession.”

Small Balance Multifamily Investment Snapshot — Q2 2018

Arbor Chatter – October 1, 2018

“Here’s a quick look at the small balance multifamily finance and investment benchmarks for Q2 2018.”

 Rent Growth Holds at 1.2% as Vacancy Rate Rises in Q3 2018

Multifamily Executive – October 3, 2018

“Occupancy is expected to remain positive, although vacancy rates are expected to increase, as new supply will outpace demand growth. Still, as long as job growth holds steady, we expect rent growth to remain positive over the next few quarters.”

Multifamily Investors Continue to Accept Low Cap Rates, But for How Long?

NREI – October 2, 2018

“Cap rates on apartment acquisitions have averaged 5.6 percent since 2017, with almost no movement.”