Tuesday, November 13, 2012

Echo Boomers Important Multifamily Driver via GlobeSt.com

The multifamily sector is still flourishing as rents continue to rise and renters demand new development. According to Meyers Research, a Kennedy Wilson Co., which just released its latest trend report, national rent for markets covered by RealFacts reached an all-time high of $1,042 per month in the third quarter of this year, an increase of 4.8% from a year ago. Given the lingering effects of the recent housing-market crisis, which continues to push former homeowners into the rental market, demand fundamentals should continue to be strong for rental units, keeping rents growing in the near term, the report reveals.

In addition, more Millennials, a.k.a. Echo Boomers, entering the market should also help boost fundamentals. “In the past year, new developments have been met with strong renter demand, particularly for contemporary product in A+ locations that are heavily favored by today’s Echo Boomers,” Jeff Meyers, president of Meyers Research, tells GlobeSt.com. “This demographic of 95 million is obviously important because they are transitioning into the workforce, and detached shadow inventory is not competitive for this young cohort.”

Read more...GlobeSt.com - Echo Boomers Important Multifamily Driver - Daily News Article

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