29 Jun CREPN #98 Multifamily Market Opportunities with Ryan Kimura
Where are the Multifamily Market Opportunities? [x_audio_embed][/x_audio_embed] Find a market with jobs, low rental housing supply and rents that are affordable. The Multifamily market has been cooking for several years as the demand for rental housing created by the crash and millennials who choose to live in cities. As the cycle continues, investors begin to ask, “how long can this last?” If you are a developer or investor, the ability to look at a specific market and identify the characteristics in play are critical to your success. Firms like firms like Axiometrics, acquired by RealPage, specialize in providing monthly multifamily market data. Primary markets with the most demand and development, are showing signs of oversupply in the class A units. In these markets, free rent concessions have begun to show up and rent growth has slowed. Say goodbye to rent growth of 12, 14 and 16% year over year is no more in most markets. The healthy markets for the near future suggest 2 – 3 % annual rent increases.