Apartments nationwide will enjoy a reasonably strong year in 2017, buoyed by continued employment growth (a rise of more than 2.7 million jobs, or 1.9 percent), Berkadia predicated in its 2017 Market Forecast. The company estimates vacancies nationwide will edge down 20 basis points to 5.1 percent, even as more than 320,600 new units are put on the market.
Read more...Economy Watch: Apartment Supply, Rents Will Continue to Grow in 2017
Friday, December 30, 2016
Thursday, December 29, 2016
17 Simple Property Management Steps for a Better ’17 via Multi-Housing News Online
New Year, new you, right? Um, no. New Years resolutions are pretty much a sucker’s bet. It’s why gym membership spikes in January and then flatlines in February, and why you’re most definitely not going to finish Moby Dick (that, and there are far too few explosions and sexy strangers with secret pasts in that book. At least, there weren’t any in the Cliff’s Notes version I read in college. Maybe in the director’s cut?). Big changes are just too hard to stick to.
Little changes, though. Little changes are easier.
Here are 17 simple steps you can take in 2017 to be a better property manager and to enhance your community.
Read more...17 Simple Property Management Steps for a Better ’17
Little changes, though. Little changes are easier.
Here are 17 simple steps you can take in 2017 to be a better property manager and to enhance your community.
Read more...17 Simple Property Management Steps for a Better ’17
Affordability Crisis | The Balance Sheet via Yardi Corporate Blog
Like the infamous “blue screen of death,” the Urban Institute’s map of affordable housing inventory is terrifying to behold. A handful of dark blue swatches in Midwest represent healthy levels of affordable housing inventory. The rest of the country, on the other hand, sits awash in the lightest indigo hues. From barely perceptible azure to the palest cerulean, a majority of states contain less than 50 units per 100 extremely low-income households. More than a third sit at, or close, to zero.
Read more...Affordability Crisis | The Balance Sheet - Yardi Corporate Blog
Read more...Affordability Crisis | The Balance Sheet - Yardi Corporate Blog
Wednesday, December 28, 2016
Apartment forecasters see smaller rent increases ahead via Dallas News
Dallas-Fort Worth apartment rents grew at almost twice the national average in the fourth quarter, according to a new report by Axiometrics Inc.
Dallas-area rents were up 4.3 percent from fourth quarter 2015 and Fort Worth rents rose 5.7 percent, according to the apartment analyst.
At the same time national apartment rents increased by 2.4 percent in the final months of the year.
Read more...Apartment forecasters see smaller rent increases ahead | Real Estate | Dallas News
Dallas-area rents were up 4.3 percent from fourth quarter 2015 and Fort Worth rents rose 5.7 percent, according to the apartment analyst.
At the same time national apartment rents increased by 2.4 percent in the final months of the year.
Read more...Apartment forecasters see smaller rent increases ahead | Real Estate | Dallas News
Friday, December 23, 2016
U.S. population growth is lower than at any time since the Great Depression via The Washington Post
Last year the United States had the lowest rate of population growth of any year since the Great Depression, according to census figures released Tuesday.
The milestone is due largely to the aging of the population, with more deaths last year than at any time since 2000, according to William Frey, a demographer and senior fellow at the Brookings Institution.
The nation grew by 0.695 percent between 2015 and 2016 to 323.1 million, down from 0.732 percent the previous year — the lowest increase since 1937-1938, when it was 0.60 percent.
Read more...U.S. population growth is lower than at any time since the Great Depression - The Washington Post
The milestone is due largely to the aging of the population, with more deaths last year than at any time since 2000, according to William Frey, a demographer and senior fellow at the Brookings Institution.
The nation grew by 0.695 percent between 2015 and 2016 to 323.1 million, down from 0.732 percent the previous year — the lowest increase since 1937-1938, when it was 0.60 percent.
Read more...U.S. population growth is lower than at any time since the Great Depression - The Washington Post
The Legal Guide To Effective Tenant Screening via Multifamily Blogs
With just 23,000,000 landlords serving over 110,000 renters in the United States, one thing is clear- the rental market is doing really well. As a matter of fact, there are more than 2600 new renters every day. Going by these figures, you’re pretty much guaranteed to receive tons of tenancy applications for a good, strategically priced piece of property. Unfortunately, this presents a challenge, combing through all the applications to weed out the ne’er do wells. Of course no one would want to deal with a troublesome tenant, right?
Read more...The Legal Guide To Effective Tenant Screening - Multifamily Blogs
Read more...The Legal Guide To Effective Tenant Screening - Multifamily Blogs
Apartment Market Faces Supply Challenges, Amid Growing Demand via Multi-Housing News Online
Demand for apartments doesn’t show any signs of slowing down—but it’s become a challenge for many developers and investors as development costs rise. Supply is having a hard time keeping up with demand already—and that’s not likely to change any time soon.
National demand for apartments has been growing for several years and new units have been absorbed as quickly as they have become available. Vacancy rates are near historic lows and rents continue to rise. Based on demographic and economic data, we can expect to see even greater demand for apartments in the next couple of years.
Read more...Apartment Market Faces Supply Challenges, Amid Growing Demand
National demand for apartments has been growing for several years and new units have been absorbed as quickly as they have become available. Vacancy rates are near historic lows and rents continue to rise. Based on demographic and economic data, we can expect to see even greater demand for apartments in the next couple of years.
Read more...Apartment Market Faces Supply Challenges, Amid Growing Demand
Can You Afford an Apartment? Dallas Rent Growth Slows, But Values Still Exist in the Suburbs via CandysDirt.com
There’s a serious shortage of affordable rentals in Dallas, but some data shows that prices are dropping. That’s good news considering that wages, when compared to housing costs, are creating a gap in affordability that is causing a whole swath of renters to become “cost burdened.”
“Dallas, specifically, ranks No. 47 when it comes to cost burdened renters, with 47 percent of the local renters spending at least 30 percent of their income on rent,” said Sam Radbil of Abodo. “Outside of Dallas, when looking at the data on a national level, the study revealed that almost half of the top 20 cities with the most cost burdened renters are located in California.”
Read more...Can You Afford an Apartment? Dallas Rent Growth Slows, But Values Still Exist in the Suburbs - CandysDirt.com
“Dallas, specifically, ranks No. 47 when it comes to cost burdened renters, with 47 percent of the local renters spending at least 30 percent of their income on rent,” said Sam Radbil of Abodo. “Outside of Dallas, when looking at the data on a national level, the study revealed that almost half of the top 20 cities with the most cost burdened renters are located in California.”
Read more...Can You Afford an Apartment? Dallas Rent Growth Slows, But Values Still Exist in the Suburbs - CandysDirt.com
Not so a-Lone Star State: Why Texas adds almost 1,200 residents per day via Dallas News
Over the last year, Texas added 432,957 new residents, pushing the Lone Star State’s population to almost 28 million, U.S. Census Bureau data released this week shows.
That amounts to about 1,183 new Texans each day and the biggest population jump of any state in the country.
Florida was next, adding 367,525 residents from July 2015 to July 2016, followed by California, which added 256,077 people.
Read more...Not so a-Lone Star State: Why Texas adds almost 1,200 residents per day | Demographics | Dallas News
That amounts to about 1,183 new Texans each day and the biggest population jump of any state in the country.
Florida was next, adding 367,525 residents from July 2015 to July 2016, followed by California, which added 256,077 people.
Read more...Not so a-Lone Star State: Why Texas adds almost 1,200 residents per day | Demographics | Dallas News
Wednesday, December 21, 2016
Apartment Building Buyers Unmoved by Interest Rate Hike via National Real Estate Investor
Interest rates are finally rising, but that doesn’t mean cap rates on apartment properties have to rise too.
“This interest rate increase could be a non-event on cap rates,” says James Costello, senior vice president for New York City-based research firm Real Capital Analytics (RCA).
It’s easy to assume that higher interest rates will naturally lead buyers of apartment properties to demand higher yields on their investments. But investor yields and interest rate often move in different directions.
Read more...Apartment Building Buyers Unmoved by Interest Rate Hike
“This interest rate increase could be a non-event on cap rates,” says James Costello, senior vice president for New York City-based research firm Real Capital Analytics (RCA).
It’s easy to assume that higher interest rates will naturally lead buyers of apartment properties to demand higher yields on their investments. But investor yields and interest rate often move in different directions.
Read more...Apartment Building Buyers Unmoved by Interest Rate Hike
Houston Apartment Rents Dropped Almost 4 Percent in Last Year via Realty News Report
Houston apartment rents dropped 3.7 percent in November from November of 2015, according to a new report by Axiometrics, a multifamily data firm.
Houston, which has an overbuilt apartment market, had an average monthly apartment rent of $1,053, down from $1,094 a year ago. By comparison, the national average rent is $1,278, Axiometrics reports.
The oversupply of apartments has been concentrated in the upscale Class A market, while vacancy is tight in the Class B and C sectors.
Read more...Houston Apartment Rents Dropped Almost 4 Percent in Last Year | Realty News Report
Houston, which has an overbuilt apartment market, had an average monthly apartment rent of $1,053, down from $1,094 a year ago. By comparison, the national average rent is $1,278, Axiometrics reports.
The oversupply of apartments has been concentrated in the upscale Class A market, while vacancy is tight in the Class B and C sectors.
Read more...Houston Apartment Rents Dropped Almost 4 Percent in Last Year | Realty News Report
Friday, December 16, 2016
In Brief: U.S. Renters Have Higher Credit Scores, More Access to Debt via Urban Land Magazine
According to a report from American credit bureau TransUnion, U.S. renters, as a group, are getting older, but they also have better credit scores and greater access to debt than previously. The study analyzed the credit behavior of 631,000 renters who moved during the second quarter of 2015 over the 12 months following their moves with a similar group who moved during the second quarter of 2009. Here are a few of the findings:
Read more...In Brief: U.S. Renters Have Higher Credit Scores, More Access to Debt - Urban Land Magazine
Read more...In Brief: U.S. Renters Have Higher Credit Scores, More Access to Debt - Urban Land Magazine
Texas Economy Positioned to Improve in 2017 via Dallas Fed
The Texas economy continues to expand at a moderate pace, with payroll employment growing at a 2.1 percent annualized pace in the second half of the year versus the lackluster 0.8 percent rate in the first half. October job growth was subdued, but September data were revised up. The Texas Business Outlook Surveys (TBOS) point to stronger growth in both manufacturing and services in November. The Texas Employment Forecast suggests that job growth for the year will be 1.5 percent (December/December) and that growth next year will be close to the state’s long-term trend rate of 2.1 percent.
Read more...Texas Economy Positioned to Improve in 2017 - Dallas Fed
Read more...Texas Economy Positioned to Improve in 2017 - Dallas Fed
Thursday, December 15, 2016
ALN Monthly Newsletter December 2016 via ALN Apartment Data
ALN Data just released their November 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter December 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter December 2016 via ALN Apartment Data
Monday, December 12, 2016
Multifamily Financing: 3 Things to Know for 2017 via Multi-Housing News Online
As 2016 draws to a close, multifamily investors, owners and developers are watching fundamentals and politics carefully to assess what’s to come in the year ahead.
There are certainly shifts on the horizon in terms of financing. With that in mind, below are three factors to keep in mind when seeking financing for multifamily product in the year ahead.
Read more...Multifamily Financing: 3 Things to Know for 2017
There are certainly shifts on the horizon in terms of financing. With that in mind, below are three factors to keep in mind when seeking financing for multifamily product in the year ahead.
Read more...Multifamily Financing: 3 Things to Know for 2017
Friday, December 9, 2016
Yardi: National Average Rent Continues Falling as Growth Moderates via Multifamily Executive Magazine
The national average apartment rent fell by $3 in October to $1,216 from $1,219, three times the amount it fell last month, according to the Matrix Monthly report by Yardi Matrix. This is the second average apartment rent decrease since November 2015 and the steepest month-over-month drop since October 2013. However, rents grew by 4.4% on a year-over-year basis in October, down 30 basis points (bps) from September’s year-over-year growth but up 230 bps from October 2015.
Yardi attributes the deceleration in the national average rent not to a market slowdown but to a moderation of 2015's and early 2016’s high growth in many metros.
Read more...Yardi: National Average Rent Continues Falling as Growth Moderates | Multifamily Executive Magazine
Yardi attributes the deceleration in the national average rent not to a market slowdown but to a moderation of 2015's and early 2016’s high growth in many metros.
Read more...Yardi: National Average Rent Continues Falling as Growth Moderates | Multifamily Executive Magazine
Lenders Growing Wary of Multifamily Construction Loans via Multifamily Executive Magazine
As the new-apartment unit leasing rate slows, multifamily investors and lenders are concerned the market may be passing its peak, according to National Mortgage News. Lenders are growing more cautious with their investment money, which may contribute to a slowdown in this cycle’s multifamily construction boom.
Read more...Lenders Growing Wary of Multifamily Construction Loans | Multifamily Executive Magazine
Read more...Lenders Growing Wary of Multifamily Construction Loans | Multifamily Executive Magazine
Tuesday, December 6, 2016
Apartment Vacancy Rate Stays Low, Surprising Researchers via National Real Estate Investor
Experts warned that hundreds of thousands of new apartments would open in 2016 and drive up the vacancy in the sector. But for most of this year, average vacancy rates stayed low.
“The market has proved to be incredibly resilient,” says John Sebree, first vice president and national director of the national multi housing group at brokerage firm Marcus & Millichap “The apartment business is far more positive and far stronger than we expected to be at the beginning of 2016.”
Read more...Apartment Vacancy Rate Stays Low, Surprising Researchers
“The market has proved to be incredibly resilient,” says John Sebree, first vice president and national director of the national multi housing group at brokerage firm Marcus & Millichap “The apartment business is far more positive and far stronger than we expected to be at the beginning of 2016.”
Read more...Apartment Vacancy Rate Stays Low, Surprising Researchers
Top Markets for Expected Deliveries in 2017 via Multifamily Executive Magazine
he industry’s comeback after the Great Recession has set new records for development and rent growth, but it appears some development markets are finally moderating. The past year saw 337,000 units arrive to the market, on top of the 267,000 units delivered in 2015. For the coming year, things will temper (even if just a bit) with an expected 272,000 deliveries, according to MPF Research, the analytics arm of RealPage.
A more stringent construction debt market will also curb the delivery of new apartments into the future. John Gray is head of investments for Lennar Multifamily Communities (LMC), which started 4,565 units in 2015 ranking fifth on the NMHC’s list of largest apartment builders, says its production will drop 30% to 35% in the next year. And, he expects other major apartment builders to see similar decreases. “Everybody is anticipating starting between 50% to 65% as many units in 2017 as they did in 2016,” he says.
Read more...Top Markets for Expected Deliveries in 2017 | Multifamily Executive Magazine
A more stringent construction debt market will also curb the delivery of new apartments into the future. John Gray is head of investments for Lennar Multifamily Communities (LMC), which started 4,565 units in 2015 ranking fifth on the NMHC’s list of largest apartment builders, says its production will drop 30% to 35% in the next year. And, he expects other major apartment builders to see similar decreases. “Everybody is anticipating starting between 50% to 65% as many units in 2017 as they did in 2016,” he says.
Read more...Top Markets for Expected Deliveries in 2017 | Multifamily Executive Magazine
Monday, December 5, 2016
Austin Economic Indicators December 2016 via Dallas Fed
The Austin economy continued to grow modestly in October. While still in positive territory, the Austin Business Cycle Index decelerated again and remains well below its long-term average. Net job growth was flat, while the unemployment rate declined slightly.
Read more...Austin Economic Indicators December 2016 via Dallas Fed
Read more...Austin Economic Indicators December 2016 via Dallas Fed
Thursday, December 1, 2016
Rental Gap Widens Between A and C Product via GlobeSt.com
cross the 100 largest metro areas in the US, the asking rent gap between the top end and the bottom layer of the apartment market has widened to the point where it’s essentially doubled, RealPage Inc. chief economist Greg Willett blogged earlier this month. Specifically, Willett wrote, “the most expensive class A product now rents for $1,663 per month on average, basically double the average $850 monthly rents for the lower priced class C properties.”
The gap is even greater on both coasts, and most especially in the Northeast. Boston’s class A rentals ask an average of $3,148 per month, nearly triple the $1,1168 average for C product.
Read more...Rental Gap Widens Between A and C Product | GlobeSt.com
The gap is even greater on both coasts, and most especially in the Northeast. Boston’s class A rentals ask an average of $3,148 per month, nearly triple the $1,1168 average for C product.
Read more...Rental Gap Widens Between A and C Product | GlobeSt.com
Wednesday, November 30, 2016
Dallas Beige Book 11/30/16 via Dallas Fed
Economic activity in the Eleventh District expanded modestly over the past six weeks. Manufacturing activity rose, and demand for nonfinancial services increased. Retail sales fell, and automobile sales softened. Real estate activity continued to expand in most markets. Loan demand was stable, and the energy sector saw slight improvement. Agricultural producers faced mixed conditions, as low commodity prices pressured farm revenues, despite higher crop yields and good pasture conditions. Upward price pressures remained limited. Employment increased and wage pressures were more widespread. Outlooks were mostly positive but cautious.
Read more...Dallas Beige Book - Dallas Fed
Read more...Dallas Beige Book - Dallas Fed
Houston Economic Indicators November 2016 via Dallas Fed
Recent data continue to affirm a more positive outlook for Houston. Several leading indicators for the region have improved, and service sector job growth is accelerating. Employment has grown in each of the past four months, though recent gains in energy have been offset by losses in construction. The health care industry continues to grow, and construction activity for that sector is likely to expand. While recent data can be revised significantly and thus should be interpreted with caution, Houston is showing broad signs of improvement.
Read more...Houston Economic Indicators November 2016 via Dallas Fed
Read more...Houston Economic Indicators November 2016 via Dallas Fed
Tuesday, November 29, 2016
Top Markets for Expected Rent Growth in 2017 via Multifamily Executive Magazine
California once again dominates the list of rent-growth leaders for the coming year, with more than half of the top markets, but it may come as a slight surprise to some.
Oakland tops the list, with San Francisco and San Jose still in the top 10. Oakland’s rent-growth pace has slowed significantly recently, and San Francisco and San Jose are both experiencing rent cuts. There’s been a lot of fear about oversupply in these markets, which could be contributing to the current situation. The Bay Area economy has experienced a notable decline recently, but its job-addition volumes are substantial.
Read more...Top Markets for Expected Rent Growth in 2017 | Multifamily Executive Magazine | Rent Trends, Rents
Oakland tops the list, with San Francisco and San Jose still in the top 10. Oakland’s rent-growth pace has slowed significantly recently, and San Francisco and San Jose are both experiencing rent cuts. There’s been a lot of fear about oversupply in these markets, which could be contributing to the current situation. The Bay Area economy has experienced a notable decline recently, but its job-addition volumes are substantial.
Read more...Top Markets for Expected Rent Growth in 2017 | Multifamily Executive Magazine | Rent Trends, Rents
Monday, November 28, 2016
Texas Manufacturing Outlook Survey via Dallas Fed
Texas factory activity increased again in November, according to business executives responding to the Texas Manufacturing Outlook Survey. The production index, a key measure of state manufacturing conditions, posted a fifth consecutive positive reading and edged up to 8.8.
Other measures of current manufacturing activity showed mixed movements. The new orders and growth rate of orders indexes posted their third consecutive negative readings in November but moved up, coming in at -1.4 and -0.8, respectively. The capacity utilization index rose three points to 3.6, while the shipments index dipped slightly negative to -1.9.
Read more...Texas Manufacturing Outlook Survey - Dallas Fed
Other measures of current manufacturing activity showed mixed movements. The new orders and growth rate of orders indexes posted their third consecutive negative readings in November but moved up, coming in at -1.4 and -0.8, respectively. The capacity utilization index rose three points to 3.6, while the shipments index dipped slightly negative to -1.9.
Read more...Texas Manufacturing Outlook Survey - Dallas Fed
DFW Economic Indicators November 2016 via Dallas Fed
The Dallas–Fort Worth economy expanded in October. Employment grew during the month, continuing to outperform job growth in the state as a whole, and unemployment fell. Leasing activity in the DFW office and industrial markets strengthened in the third quarter, and construction stayed elevated.
Read more...DFW Economic Indicators November 2016 via Dallas Fed
Read more...DFW Economic Indicators November 2016 via Dallas Fed
Tuesday, November 22, 2016
Yardi Matrix: Austin’s Fundamental Growth via Commercial Property Executive
Austin continues to be one of the rapidly growing metros in the U.S. Its economy is experiencing healthy gains, with employment and population growth well above national averages. Job gains are broad-based, with the most substantial amount of activity registered in the trade, transportation and utilities; professional and business services; and education and health-care sectors.
Read more...Yardi Matrix: Austin’s Fundamental Growth
Read more...Yardi Matrix: Austin’s Fundamental Growth
Yardi Matrix: Houston Hits the Brakes via Multi-Housing News Online
Traditionally an energy-driven market, Houston is trying to reshape its economy as the drop in oil prices has decimated job growth in some segments and put a damper on the housing market. There are pockets of progress, though. The metro’s first-rate health-care system, growing hospitality sector and international investment are starting to gain momentum.
Read more...Yardi Matrix: Houston Hits the Brakes
Read more...Yardi Matrix: Houston Hits the Brakes
Over Renters on the Rise in Fort Worth via CandysDirt.com
There is a new buzz word in real estate: Over Renter. This term is used to describe individuals or families that make $150,000 or more annually that choose to rent a home or apartment in lieu of purchasing a traditional home. These high-income renters certainly can purchase a home but elect to pay top dollar for renting smaller, more conveniently located living spaces … and they are happy about it.
According to a recent study by RentCafe, in the Fort Worth market alone, the number of high-income renters has increased 77 percent since 2014.
Read more...Over Renters on the Rise in Fort Worth | CandysDirt.com
According to a recent study by RentCafe, in the Fort Worth market alone, the number of high-income renters has increased 77 percent since 2014.
Read more...Over Renters on the Rise in Fort Worth | CandysDirt.com
Monday, November 21, 2016
Texas Adds 10,900 Jobs in October; State Employment Forecast Revised Up to 1.5% for 2016 via Dallas Fed
Texas added 10,900 jobs in October, according to seasonally adjusted and benchmarked payroll employment numbers released today by the Federal Reserve Bank of Dallas.
The state added a revised 28,800 jobs in September. Year to date, jobs have increased at an annualized pace of 1.5 percent after rising 1.3 percent in 2015. The monthly annualized growth rate in October was 1.1 percent.
Read more...Dallas Fed: Texas Adds 10,900 Jobs in October; State Employment Forecast Revised Up to 1.5 Percent for 2016 - Dallas Fed
The state added a revised 28,800 jobs in September. Year to date, jobs have increased at an annualized pace of 1.5 percent after rising 1.3 percent in 2015. The monthly annualized growth rate in October was 1.1 percent.
Read more...Dallas Fed: Texas Adds 10,900 Jobs in October; State Employment Forecast Revised Up to 1.5 Percent for 2016 - Dallas Fed
Yardi Matrix: Dallas’ Dynamism via Multi-Housing News Online
Displaying solid fundamentals, the Dallas-Fort Worth metro continues to be one of the fastest-growing multifamily markets in the United States. Gaining more than 520,000 residents in the last four years and 110,000 jobs in the last 12 months alone, the dynamic metro is rapidly adding stock. At the same time, the market’s steady and above-trend rent growth is putting industry players at ease, projecting sustainable investments for the foreseeable future.
Read more...Yardi Matrix: Dallas’ Dynamism
Read more...Yardi Matrix: Dallas’ Dynamism
Why the Multifamily Market Still Has Room to Run via GlobeSt.com
Population and demographic trends like reduced homeownership and millennials delaying marriage and children create long-term structural advantages for multifamily that other sectors lack, according to Colliers International’s chief economist Andrew Nelson. As the company readies its latest multifamily spotlight, GlobeSt.com spoke exclusively with Nelson, along with Cindy H. Cooke, senior EVP of multifamily investments, and Will Mathews, VP and principal for Colliers’ multifamily advisory group in the East region, about what puts multifamily in the driver’s seat among commercial asset classes, and why investors still see opportunity in the sector.
Read more...Why the Multifamily Market Still Has Room to Run | GlobeSt.com
Read more...Why the Multifamily Market Still Has Room to Run | GlobeSt.com
Friday, November 18, 2016
Housing Starts in U.S. Surged to a Nine-Year High in October via Bloomberg
U.S. new-home construction jumped to a nine-year high in October as an outsized advance in the number of apartment projects accompanied a strong pickup for single-family housing.
Residential starts surged 25.5 percent to a 1.32 million annualized rate, the fastest since August 2007 and exceeding the highest projection in a Bloomberg survey, a Commerce Department report showed Thursday. The increase from September was the biggest since July 1982. Multifamily-home building was up a whopping 68.8 percent.
Read more...Housing Starts in U.S. Surged to a Nine-Year High in October - Bloomberg
Residential starts surged 25.5 percent to a 1.32 million annualized rate, the fastest since August 2007 and exceeding the highest projection in a Bloomberg survey, a Commerce Department report showed Thursday. The increase from September was the biggest since July 1982. Multifamily-home building was up a whopping 68.8 percent.
Read more...Housing Starts in U.S. Surged to a Nine-Year High in October - Bloomberg
Dallas Metro Report: November 2016 via The Zumper Blog
The Zumper Dallas Metro Report analyzed around 20,000 active listings in October across the 14 most populated cities in the area to highlight the most expensive cities and cities with the fastest growing rents.
Read more...Dallas Metro Report: November 2016 | The Zumper Blog
Read more...Dallas Metro Report: November 2016 | The Zumper Blog
Apartment Demand, Rental Rates Hold Steady Against Unprecedented Supply in Healthy-But-Slowing Apartment Market via CoStar Group
The U.S. multifamily market continued its historic run in the third quarter as demand for apartment units remained strong, matching a surge in new supply as developers continue to add new units at a record pace.
Total net absorption of apartment units for the third quarter held steady at almost 45,000 units. On a four-quarter basis, renters leased a robust 172,000 units, although lower than the prior 12-month period.
Read more...Apartment Demand, Rental Rates Hold Steady Against Unprecedented Supply in Healthy-But-Slowing Apartment Market - CoStar Group
Total net absorption of apartment units for the third quarter held steady at almost 45,000 units. On a four-quarter basis, renters leased a robust 172,000 units, although lower than the prior 12-month period.
Read more...Apartment Demand, Rental Rates Hold Steady Against Unprecedented Supply in Healthy-But-Slowing Apartment Market - CoStar Group
Thursday, November 17, 2016
Austin, Dallas/Fort Worth Top ULI List for Real Estate Development via Property Management Insider
The city built by J.R. offered some good ole Lone Star hospitality for the Urban Land Institute Fall Meeting in October, but it’s no coincidence that Dallas/Fort Worth and Austin got some top billing.
The cities capped the Top 10 list of markets for real estate development and investment at ULI’s 38th edition of the Emerging Trends in Real Estate 2017 for 18-hour cities known for their vibrant economies, relative affordability, and authentic neighborhoods. The report was one highlight of the four-day event that attracted more than 6,000 real estate professionals to Dallas’ Kay Bailey Hutchison Convention Center.
Read more...Austin, Dallas/Fort Worth Top ULI List for Real Estate Development | Property Management Insider
The cities capped the Top 10 list of markets for real estate development and investment at ULI’s 38th edition of the Emerging Trends in Real Estate 2017 for 18-hour cities known for their vibrant economies, relative affordability, and authentic neighborhoods. The report was one highlight of the four-day event that attracted more than 6,000 real estate professionals to Dallas’ Kay Bailey Hutchison Convention Center.
Read more...Austin, Dallas/Fort Worth Top ULI List for Real Estate Development | Property Management Insider
Tuesday, November 15, 2016
Apartment Rents Drop in Houston, Bucking National Upward Trend via Realty News Report
If you’re looking for an apartment at a decent price, best you point your feet in the direction of the Bayou City – Houston.
A new report says apartment rents are rising virtually everywhere in the US, but in Houston, rent hikes have slowed to a snail’s pace – if at all. Decreases are being seen in some of the charges for apartment units in the southeast Texas metro market.
Read more...Apartment Rents Drop in Houston, Bucking National Upward Trend | Realty News Report
A new report says apartment rents are rising virtually everywhere in the US, but in Houston, rent hikes have slowed to a snail’s pace – if at all. Decreases are being seen in some of the charges for apartment units in the southeast Texas metro market.
Read more...Apartment Rents Drop in Houston, Bucking National Upward Trend | Realty News Report
Multifamily Rent Growth Ranks Among Nation’s Highest via GlobeSt.com
The robust Dallas Fort Worth multifamily is still on top after many years of upward momentum. In addition, mixed-use development continues to dot the tristate area. Even with supply keeping up with demand, market leaders are feeling the pressures of retail strains, changes in senior living and millennial requirements.
With regard to the supporting numbers, Dallas and Fort Worth average apartment rents declined slightly in October, though the two metros’ rent-growth performance continued to rank among the highest in the nation, according to Axiometrics, the apartment and student housing number cruncher.
Read more...Multifamily Rent Growth Ranks Among Nation’s Highest | GlobeSt.com
With regard to the supporting numbers, Dallas and Fort Worth average apartment rents declined slightly in October, though the two metros’ rent-growth performance continued to rank among the highest in the nation, according to Axiometrics, the apartment and student housing number cruncher.
Read more...Multifamily Rent Growth Ranks Among Nation’s Highest | GlobeSt.com
Monday, November 14, 2016
Yardi Matrix: Austin’s Fundamental Growth via Multi-Housing News Online
Austin continues to be one of the rapidly growing metros in the U.S. Its economy is experiencing healthy gains, with employment and population growth well above national averages. Job gains are broad-based, with the most substantial amount of activity registered in the trade, transportation and utilities; professional and business services; and education and health-care sectors.
Read more...Yardi Matrix: Austin’s Fundamental Growth
Read more...Yardi Matrix: Austin’s Fundamental Growth
What’s Ahead for Multifamily in 2017 via Multifamily Executive Magazine
The past few years have been extremely favorable to the multifamily market. Developers are building apartments to catch up on a lull of construction over previous years in a race to complete projects and capitalize on continuously rising rents. Investors are aggressively seeking opportunities to purchase multifamily properties, specifically core and value-add assets in top-tier markets, pushing cap rates as low as 4%.
Yet what remains to be seen is whether the “darling” of the commercial real estate industry will remain so, or whether the market will experience flattening or even a slight cooling in the coming year.
Read more...What’s Ahead for Multifamily in 2017 | Multifamily Executive Magazine | Capital Markets, Apartment Trends, Economic Conditions, Multifamily, Forecast, Investing, Rent Growth, Class B Properties, Franklin Street
Yet what remains to be seen is whether the “darling” of the commercial real estate industry will remain so, or whether the market will experience flattening or even a slight cooling in the coming year.
Read more...What’s Ahead for Multifamily in 2017 | Multifamily Executive Magazine | Capital Markets, Apartment Trends, Economic Conditions, Multifamily, Forecast, Investing, Rent Growth, Class B Properties, Franklin Street
Yardi Matrix: Houston Hits the Brakes via Commercial Property Executive
Traditionally an energy-driven market, Houston is trying to reshape its economy as the drop in oil prices has decimated job growth in some segments and put a damper on the housing market. There are pockets of progress, though. The metro’s first-rate health-care system, growing hospitality sector and international investment are starting to gain momentum.
Read more...Yardi Matrix: Houston Hits the Brakes
Read more...Yardi Matrix: Houston Hits the Brakes
Friday, November 11, 2016
ALN Monthly Newsletter November 2016 via ALN Apartment Data
ALN Data just released their October 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter November 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter November 2016 via ALN Apartment Data
Tuesday, November 8, 2016
DFW Economic Indicators October 2016 via Dallas Fed
Dallas–Fort Worth economic growth was solid in September. Employment expanded during the month and continued to outperform the state as a whole, and unemployment remained below state and national rates. The DFW multifamily housing market strengthened in the third quarter, and apartment construction stayed elevated. Home sales grew in September despite low inventories. The Dallas Fed business-cycle indexes point toward continued growth for the metroplex.
Read more...DFW Economic Indicators October 2016 via Dallas Fed
Read more...DFW Economic Indicators October 2016 via Dallas Fed
Could This Be the End of the Texas Slump? via Dallas Fed
Regional economic activity appears to be improving, and the oil-driven slump may be nearing an end.
Texas job growth continues to accelerate, rising an annualized 2.1 percent in September and lifting year-to-date growth to an annualized 1.4 percent. After incorporating the second-quarter early benchmark, the Dallas Fed revised its forecast for 2016 employment growth up to 1.5 percent (December/December), which, if it comes to fruition, would surpass last year’s 1.3 percent increase. If there are additional downward revisions to state employment data, like those in the first half of the year, third-quarter growth could come in weaker than the current 2.6 percent increase.
Read more...Could This Be the End of the Texas Slump? - Dallas Fed
Texas job growth continues to accelerate, rising an annualized 2.1 percent in September and lifting year-to-date growth to an annualized 1.4 percent. After incorporating the second-quarter early benchmark, the Dallas Fed revised its forecast for 2016 employment growth up to 1.5 percent (December/December), which, if it comes to fruition, would surpass last year’s 1.3 percent increase. If there are additional downward revisions to state employment data, like those in the first half of the year, third-quarter growth could come in weaker than the current 2.6 percent increase.
Read more...Could This Be the End of the Texas Slump? - Dallas Fed
Houston Economic Indicators October 2016 via Dallas Fed
Recent data suggest that Houston may have put the worst of the oil bust behind it, but some lingering effects likely remain. Employment expanded in each of the past four months as growth broadened in services and losses slowed in goods-producing sectors. However, new job ads in the metro continue to decline. Overall, Houston is shifting from a modestly negative to a flat or even slightly positive trend.
Read more...Houston Economic Indicators October 2016 via Dallas Fed
Read more...Houston Economic Indicators October 2016 via Dallas Fed
Matrix Monthly: October Rents Moderate via Multi-Housing News Online
October's rent growth numbers marked the biggest drop in three years, but a new report from Yardi Matrix states that the recent deceleration is no cause for concern.
The past month’s decline in rent marked the largest in three years with average monthly rents falling by $3 in October, according to Yardi Matrix’s monthly survey of 123 markets. At $1,216, the country’s average rent growth has dropped the most since the average fell by $3 in October 2013. On a year-over-year basis, rents grew 4.4 percent, a 30-basis-point decline from September, and a 230-basis-point decline from the recent high in October 2015 of 6.7 percent. According to Yardi Matrix’s report, “The decline demonstrates a reversion to more ‘normal’ rent growth that we forecast at the beginning of the year.”
Read more...Matrix Monthly: October Rents Moderate
The past month’s decline in rent marked the largest in three years with average monthly rents falling by $3 in October, according to Yardi Matrix’s monthly survey of 123 markets. At $1,216, the country’s average rent growth has dropped the most since the average fell by $3 in October 2013. On a year-over-year basis, rents grew 4.4 percent, a 30-basis-point decline from September, and a 230-basis-point decline from the recent high in October 2015 of 6.7 percent. According to Yardi Matrix’s report, “The decline demonstrates a reversion to more ‘normal’ rent growth that we forecast at the beginning of the year.”
Read more...Matrix Monthly: October Rents Moderate
Austin Economic Indicators November 2016 via Dallas Fed
The Austin economy continued to grow moderately in September. Growth in the Austin Business-Cycle Index declined marginally and remains well below its long-term trend. Jobs declined slightly, and the unemployment rate ticked up slightly. However, growth in average wages remains robust, and Austin’s core sectors such as high-tech services and government continue to grow strongly.
Read more...Austin Economic Indicators November 2016 via Dallas Fed
Read more...Austin Economic Indicators November 2016 via Dallas Fed
Tuesday, October 25, 2016
Apartment Market Pulse: Rents, Values and Occupancies - All Up via National Apartment Association
Rent growth occurred across most markets during the third quarter, averaging 4.7 percent on a year-over-year basis, according to Yardi Matrix. Growth continues to slow, as evidenced by a lone city experiencing double-digit rent growth, Sacramento, compared to four last year at this time. San Francisco, Houston, Denver and New York comprise the handful of markets with rent growth lower than the long-term national average of 2.2 percent, and even negative in the higher-end segment. Reports of concessions coming back in some of these cities suggest the scales may soon tip towards tenant-favorable markets.
Read more...Apartment Market Pulse: Rents, Values and Occupanices - All Up | National Apartment Association
Read more...Apartment Market Pulse: Rents, Values and Occupanices - All Up | National Apartment Association
Has Apt. Supply Growth Caught Up with Rent Growth? via GlobeSt.com
Going into multifamily REITs’ third-quarter earnings season, which began late Monday afternoon with a report from AvalonBay Communities (AVB), there have been signs of softening in apartment markets nationally. The National Multifamily Housing Council said last week that all four of the indices in its latest quarterly survey came in below the break-even level of 50, while economists and analysts alike are anticipating a moderation of growth in 2017.
Read more...Has Apt. Supply Growth Caught Up with Rent Growth? | GlobeSt.com
Read more...Has Apt. Supply Growth Caught Up with Rent Growth? | GlobeSt.com
Wednesday, October 19, 2016
Dallas Beige Book 10/19/2016 via Dallas Fed
Economic activity in the Eleventh District expanded moderately over the past six weeks. Manufacturing activity rose, and demand for nonfinancial services increased. Retail sales held steady and automobile sales remained strong. Real estate activity was flat to up in most markets. Loan demand was mixed. Demand for oilfield services stayed depressed, although drilling activity ticked up. Agricultural growing conditions remained favorable, but prices fell further. Overall employment growth picked up slightly, while prices held steady. Outlooks remained generally positive but cautious.
Read more...Dallas Beige Book - Dallas Fed
Read more...Dallas Beige Book - Dallas Fed
ALN Monthly Newsletter October 2016 via ALN Apartment Data
ALN Data just released their September 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter October 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter October 2016 via ALN Apartment Data
Thursday, October 13, 2016
REIS: Rent Market Softens Under Surplus of New Construction in Q3 via Multifamily Executive
REIS’s newly released data on apartment vacancy, absorption, consumption, supply and demand, and rent trends show some softening in the rent market in the third quarter of 2016. High construction levels and weak economic conditions in the beginning of the year have predicated this deceleration, according to REIS economist Barbara Denham. A concurrent drop in new multifamily permits suggests that developers are concentrating more on leasing the existing surplus of units.
Excess of New Units Won't Necessarily Cause High Vacancy Rates
Construction exceeded absorption for the sixth quarter in a row in Q3, but the margin between new construction and net absorption (37,693) is only 51 units.
Read more...REIS: Rent Market Softens Under Surplus of New Construction in Q3 | Multifamily Executive Magazine | Rent Trends, Rents, Supply and Demand, Occupancy and Vacancy Rate, Construction, Absorption Rates, business intelligence, Vacancies, Rent Growth, Rental Market, Markets, Forecast, new developments, Effective Rents, Reis
Excess of New Units Won't Necessarily Cause High Vacancy Rates
Construction exceeded absorption for the sixth quarter in a row in Q3, but the margin between new construction and net absorption (37,693) is only 51 units.
Read more...REIS: Rent Market Softens Under Surplus of New Construction in Q3 | Multifamily Executive Magazine | Rent Trends, Rents, Supply and Demand, Occupancy and Vacancy Rate, Construction, Absorption Rates, business intelligence, Vacancies, Rent Growth, Rental Market, Markets, Forecast, new developments, Effective Rents, Reis
Wednesday, October 12, 2016
9 Hidden Costs Managing Apartments That Can Cost You Big Time! via theBrokerList Blog
When managing apartments, there are several categories of operating expenses necessary to maintain and manage them. We all know these expenses: property taxes, insurance, utility charges, maintenance and turnover costs, on-site and off-site management costs, etc. But less well known are potential hidden costs of maintaining and managing an apartment that in large part can determine the profitability of your investment. They are, in no particular order:
Read more...9 Hidden Costs Managing Apartments That Can Cost You Big Time! - theBrokerList Blog
Read more...9 Hidden Costs Managing Apartments That Can Cost You Big Time! - theBrokerList Blog
Tuesday, October 11, 2016
Apartment Building Prices Continue to Rise, Surprising the Market via NREI
Prices for apartment buildings continue to rise relative to property incomes—months after the market seemed to have peaked.
“The thing that surprised me a bit about the last six months was the robustness of pricing in the apartment market,” says James Costello, senior vice president for New York City-based research firm Real Capital Analytics (RCA).
Investors continue to offer higher and higher prices for apartment properties relative to the income the properties produce. After a slow beginning to the year, cap rates in the apartment sector continued their relentless march downwards.
Read more...Apartment Building Prices Continue to Rise, Surprising the Market
“The thing that surprised me a bit about the last six months was the robustness of pricing in the apartment market,” says James Costello, senior vice president for New York City-based research firm Real Capital Analytics (RCA).
Investors continue to offer higher and higher prices for apartment properties relative to the income the properties produce. After a slow beginning to the year, cap rates in the apartment sector continued their relentless march downwards.
Read more...Apartment Building Prices Continue to Rise, Surprising the Market
Austin Economic Indicators October 2016 via Dallas Fed
The Austin economy slowed slightly in August. Growth in the Austin Business-Cycle Index has steadied over the last two months but remains well below its long-term trend. The unemployment rate increased for the third consecutive month, although it held below other large Texas metros. Jobs declined in August for the first time since March 2016. Recently released data on Austin gross domestic product (GDP) showed that output growth was very strong last year.
Read more...Austin Economic Indicators October 2016 via Dallas Fed
Read more...Austin Economic Indicators October 2016 via Dallas Fed
Airbnb + Apartments via The Balance Sheet
Airbnb announced the official launch of its multifamily housing program. The Friendly Buildings Program collaboration with apartment owners and addresses their apprehensions regarding transparency and accountability—that is what it attempts to do, at least.
Nearly 35 percent of multifamily property owners are interested in a home-sharing program and 24 percent of owners were unsure, reports the new National Multifamily Housing Council (NMHC) home-sharing survey. Nearly 60 percent of multifamily property owners are open to the idea of Airbnb onsite. The market is a powerful growth opportunity for the company if it can overcome owners’ concerns.
Read more...Airbnb + Apartments | The Balance Sheet - Yardi Corporate Blog
Nearly 35 percent of multifamily property owners are interested in a home-sharing program and 24 percent of owners were unsure, reports the new National Multifamily Housing Council (NMHC) home-sharing survey. Nearly 60 percent of multifamily property owners are open to the idea of Airbnb onsite. The market is a powerful growth opportunity for the company if it can overcome owners’ concerns.
Read more...Airbnb + Apartments | The Balance Sheet - Yardi Corporate Blog
The Scarcity of Texas Affordable Housing via Dallas Fed
Texas has long boasted a strong economy, favorable business conditions and a relatively low cost of living that includes affordable home prices. These claims have made
it attractive to residents of other states and countries. “If you want to own a cheap home,” a 2015 CBS News article declared, “you may want to head to Texas.”
Despite the state’s sunny reputation, the reality is far more complex. Most Texans do not enjoy the same level of affordability available to them in prior decades.
According to the Texas A&M Real Estate Center, the median sales price of a house has increased 75 percent since 2000, far outpacing inflation. Median household incomes have increased just 31 percent in that time span, with their real values mostly stagnant. Today, more than 43 percent of Texans can’t afford a house over $150,000— yet the median sales price is $196,000.
Read more...The Scarcity of Texas Affordable Housing via Dallas Fed
Despite the state’s sunny reputation, the reality is far more complex. Most Texans do not enjoy the same level of affordability available to them in prior decades.
According to the Texas A&M Real Estate Center, the median sales price of a house has increased 75 percent since 2000, far outpacing inflation. Median household incomes have increased just 31 percent in that time span, with their real values mostly stagnant. Today, more than 43 percent of Texans can’t afford a house over $150,000— yet the median sales price is $196,000.
Read more...The Scarcity of Texas Affordable Housing via Dallas Fed
Friday, October 7, 2016
Providing a Great Multifamily Living Experience via Property Management Insider
Your residents and prospects want a pool, closet space, decent fitness facility and a business center. When looking for an apartment, they’d rather walk in unannounced than set an appointment, and you can bet that any negative reviews will get a closer look.
As for technology, package locker systems are way cool, and so are smart homes. Some would even pay $30-$50 more a month to have them. Leasing and making payments online is convenient, but most want to maintain personal interaction with the leasing agent and staff. Pets are the new amenity, and feeling safe and secure is critical. Seeing is believing; renting an apartment sight unseen isn’t always for everyone.
Read more...Providing a Great Multifamily Living Experience
As for technology, package locker systems are way cool, and so are smart homes. Some would even pay $30-$50 more a month to have them. Leasing and making payments online is convenient, but most want to maintain personal interaction with the leasing agent and staff. Pets are the new amenity, and feeling safe and secure is critical. Seeing is believing; renting an apartment sight unseen isn’t always for everyone.
Read more...Providing a Great Multifamily Living Experience
Seeking Suburban Alpha: Apartment Investing in Select Suburbs Trumps Urban Strategies via MPF Research
Investment research has long suggested that an urban-core strategy is the best way to deploy capital into real estate. While there are some definite advantages to adhering to an urban-centric strategy, it is not necessarily guaranteed to produce the most sizable returns. In fact, our research suggests that investing in the right suburbs will actually generate the highest returns adjusted for risk, regardless of the hold period.
Read more...Seeking Suburban Alpha: Apartment Investing in Select Suburbs Trumps Urban Strategies - MPF Market Research Reports News & Trends
Read more...Seeking Suburban Alpha: Apartment Investing in Select Suburbs Trumps Urban Strategies - MPF Market Research Reports News & Trends
What will it cost you to rent a Dallas-area apartment? More than it ever has via Dallas News
A huge demand for new apartments in North Texas has pushed rents and building occupancy levels to an all-time high.
Dallas-Fort Worth apartment rents jumped by an average of 7.1 percent in the third quarter from a year ago. Previously rents in the area had never seen an average annual increase of more than 5 percent, according new data from apartment analyst MPF Research.
Nationwide, apartment rents increased by about 4 percent during the same period, making D-FW one of the top U.S. markets for rent growth.
Read more...What will it cost you to rent a Dallas-area apartment? More than it ever has | Real Estate | Dallas News
Dallas-Fort Worth apartment rents jumped by an average of 7.1 percent in the third quarter from a year ago. Previously rents in the area had never seen an average annual increase of more than 5 percent, according new data from apartment analyst MPF Research.
Nationwide, apartment rents increased by about 4 percent during the same period, making D-FW one of the top U.S. markets for rent growth.
Read more...What will it cost you to rent a Dallas-area apartment? More than it ever has | Real Estate | Dallas News
MPF Research Updates: Asset Class and Rental Market Growth via Property Management Insider
The multifamily industry is constantly evolving, and it’s important to keep up-to-date with apartment market intelligence and trends. We’ve brought you the latest updates from MPF Research to help you stay competitive.
Here’s our take on two major updates released by MPF:
Public real estate companies gain new stature as a financial class
The creation by index managers of the Real Estate sector, the eleventh Global Industry Classification Standard (GICS) sector, is testament to the increased attention investors are giving public real estate.
Read more...MPF Research Updates: Asset Class and Rental Market Growth
Here’s our take on two major updates released by MPF:
Public real estate companies gain new stature as a financial class
The creation by index managers of the Real Estate sector, the eleventh Global Industry Classification Standard (GICS) sector, is testament to the increased attention investors are giving public real estate.
Read more...MPF Research Updates: Asset Class and Rental Market Growth
Monday, September 26, 2016
ALN Monthly Newsletter September 2016 via ALN Apartment Data
ALN Data just released their August 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter September 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter September 2016 via ALN Apartment Data
Friday, September 16, 2016
U.S. Households Make Long-Awaited Gains in Housing Recovery via WSJ
Middle-class families are starting to see their biggest housing challenges ease.
Housing affordability is finally improving after years during which the struggle to pay rent swelled to crisis levels for many poor and middle-class Americans, according to an analysis of American Community Survey data released Thursday.
Jed Kolko, chief economist at job-site Indeed and senior fellow at the Terner Center for Housing Innovation at the University of California, Berkeley, said just over 49% of renters were cost-burdened in 2015, meaning they spent more than 30% of their incomes in rent, compared with about 50% a year earlier—the lowest level since 2008.
Read more...U.S. Households Make Long-Awaited Gains in Housing Recovery - Real Time Economics - WSJ
Housing affordability is finally improving after years during which the struggle to pay rent swelled to crisis levels for many poor and middle-class Americans, according to an analysis of American Community Survey data released Thursday.
Jed Kolko, chief economist at job-site Indeed and senior fellow at the Terner Center for Housing Innovation at the University of California, Berkeley, said just over 49% of renters were cost-burdened in 2015, meaning they spent more than 30% of their incomes in rent, compared with about 50% a year earlier—the lowest level since 2008.
Read more...U.S. Households Make Long-Awaited Gains in Housing Recovery - Real Time Economics - WSJ
MPF Research Wrap-Up: Top Submarkets for Apartment Construction via Property Management Insider
Our recent countdown of the nation’s 10 busiest submarkets for apartment construction reported by MPF Research comes to a close with this overview of some of the themes that seem to pop up over and over.
One recurrent theme: character. Most of these submarkets have a personality of some sort, or are trying to create one, rather than being examples of generic suburban sprawl.
Many are urban neighborhoods once largely abandoned after dark, but now reborn as intriguing and hip places to live, work and play. As young professionals have drifted back into these city centers, retail, restaurants and modern mass transportation options have followed, along with developers creating interesting mixed-use projects.
Read more...MPF Research Wrap-Up: Top Submarkets for Apartment Construction
One recurrent theme: character. Most of these submarkets have a personality of some sort, or are trying to create one, rather than being examples of generic suburban sprawl.
Many are urban neighborhoods once largely abandoned after dark, but now reborn as intriguing and hip places to live, work and play. As young professionals have drifted back into these city centers, retail, restaurants and modern mass transportation options have followed, along with developers creating interesting mixed-use projects.
Read more...MPF Research Wrap-Up: Top Submarkets for Apartment Construction
Moderation Trends Impacting Apartment Market in August According to Recent Axiometrics Report via MultifamilyBiz.com
Seasonal trends, along with the continued moderation of the apartment market, were reflected in the August 2016 performance picture, according to Axiometrics, the leader in apartment and student housing market research and analysis.
August annual effective rent growth of 2.9% was the first time the rate fell below 3% since February 2014. Rent growth still remains above the 1996-2015 average of 2.2%. Meanwhile, occupancy increased to 95.2% in August.
"Historically, rent growth has decreased and occupancy has increased in August," said Jay Denton, senior vice president of analytics for Axiometrics. "With school starting, more people are settled in their residences and fewer people move. The reduced demand has property owners and managers holding off on rent hikes."
Read more...Moderation Trends Impacting Apartment Market in August According to Recent Axiometrics Report | MultifamilyBiz.com
August annual effective rent growth of 2.9% was the first time the rate fell below 3% since February 2014. Rent growth still remains above the 1996-2015 average of 2.2%. Meanwhile, occupancy increased to 95.2% in August.
"Historically, rent growth has decreased and occupancy has increased in August," said Jay Denton, senior vice president of analytics for Axiometrics. "With school starting, more people are settled in their residences and fewer people move. The reduced demand has property owners and managers holding off on rent hikes."
Read more...Moderation Trends Impacting Apartment Market in August According to Recent Axiometrics Report | MultifamilyBiz.com
Tuesday, September 13, 2016
The Shift Toward Renter Nation via Property Management Insider
A consistent sentiment among multifamily housing leasing professionals is to know your resident and understand that one size does not fit all. The industry has strived in recent years to appeal as much as possible to individual preferences, especially in lease processes, while keeping a keen eye on the trends that drive folks to rental housing.
Understanding what drives residents and prospects to apartments is no easy task. In a world driven by personal preference and instant gratification, providing the right housing options may seem like a Herculean task.
Read more...The Shift Toward Renter Nation
Understanding what drives residents and prospects to apartments is no easy task. In a world driven by personal preference and instant gratification, providing the right housing options may seem like a Herculean task.
Read more...The Shift Toward Renter Nation
Houston Rental Property Market Trends 2016 via Appfolio
Texas has enjoyed strong rental growth for the past few years. Even so, as Axiometrics reported earlier in the year, the rate of rental growth has been much stronger in northern metro areas than in southern ones. Of the southern cities, Houston’s problem with occupancy rates and rental growth may result from overbuilding and an emphasis on building high-end units at the expense of more affordable housing. To understand what’s happening with the rental market in Houston, it might help to take a closer look at this issue.
Read more...Houston Rental Property Market Trends 2016
Read more...Houston Rental Property Market Trends 2016
Dallas Beige Book 9/7/16 via Dallas Fed
Economic activity in the Eleventh District expanded slightly over the past six weeks. Manufacturing activity was flat to up, and demand for nonfinancial services increased. Overall retail sales declined slightly on net, although automobile sales remained strong. Real estate activity was flat to up in most markets. Loan demand remained soft. Demand for oilfield services remained depressed, but contacts expect conditions to improve through the end of the year and into 2017. Agricultural conditions were favorable, although crop prices remained low. Reports of employment changes were mixed and prices held steady. Outlooks were generally positive but cautious, with the upcoming presidential election driving some of the uncertainty. Several contacts said they believe the worst of the oil bust slump has passed, but that economic growth has not yet returned to normal levels.
Read more...Dallas Beige Book - Dallas Fed
Read more...Dallas Beige Book - Dallas Fed
Austin Economic Indicators September 2016 via Dallas Fed
The Austin economy grew moderately in July. The Austin Business-Cycle Index leveled off after 17 consecutive months of deceleration. Jobs grew well above the trend rate of 3 percent, and wage growth remains robust. The unemployment rate jumped by nearly half a percentage point but continues to be among the lowest of all Texas metros.
Read more...Austin Economic Indicators September 2016 via Dallas Fed
Read more...Austin Economic Indicators September 2016 via Dallas Fed
Friday, September 9, 2016
Millennials will be renting for a lot longer via CNBC
The U.S. housing market continues to move ahead, but a generation of homebuyers is being left behind.
That's the conclusion of an analysis of homeownership by John Burns, a real estate consultant and author who has crunched the numbers in a new report.
Homeownership rates have fallen across all age groups since the housing collapse in 2009, but the biggest drop has been among the millennial generation.
Read more...Millennials will be renting for a lot longer
That's the conclusion of an analysis of homeownership by John Burns, a real estate consultant and author who has crunched the numbers in a new report.
Homeownership rates have fallen across all age groups since the housing collapse in 2009, but the biggest drop has been among the millennial generation.
Read more...Millennials will be renting for a lot longer
Wednesday, September 7, 2016
2016 Could Signal a Cyclical Peak in Commercial Construction via NREIonline.com
Commercial developers have been busy in 2016. Construction starts saw a hearty boost this year, fueled by multifamily, office and lodging sectors. But analysts expect rates of new construction to taper off through 2020.
Private non-residential construction increased 7.0 percent year-over-year, according to research and ratings firm Moody’s Investor Service. Cincinnati-based construction data firm ConstructConnect, formerly CMD Group, meanwhile tabulated year-over-year growth of 8.1 percent across all commercial property types.
Read more...2016 Could Signal a Cyclical Peak in Commercial Construction
Private non-residential construction increased 7.0 percent year-over-year, according to research and ratings firm Moody’s Investor Service. Cincinnati-based construction data firm ConstructConnect, formerly CMD Group, meanwhile tabulated year-over-year growth of 8.1 percent across all commercial property types.
Read more...2016 Could Signal a Cyclical Peak in Commercial Construction
Apartment renters aren't moving much via USA Today
Apartment dwellers are staying put in record numbers, a brand of loyalty that’s helping drive up rents.
The share of renters opting to renew their leases hit an all-time high of 53.8% through the first seven months of the year, up from 52.9% in 2015, according to new data from property management software provider RealPage.
Read more...Apartment renters aren't moving much
The share of renters opting to renew their leases hit an all-time high of 53.8% through the first seven months of the year, up from 52.9% in 2015, according to new data from property management software provider RealPage.
Read more...Apartment renters aren't moving much
Friday, August 26, 2016
Apartment Transactions Fall 30% in July via Multifamily Executive Magazine
The apartment transaction market fell 30% year over year (YOY) in July, according to a new Real Capital Analytics (RCA) report. But a 33% increase in June means sales are still up 1% YOY for the summer so far.
“The monthly declines in sales volume for the apartment sector were widespread, with all subtypes and deal structures down from a year earlier,” RCA wrote. “This said, the elevated pace of deal activity in June almost suggests acquisitions aimed at hitting midyear goals, with July as a time to pull back and regroup.”
Read more...Apartment Transactions Fall 30% in July | Multifamily Executive Magazine | Dispositions and Transactions, Sales, Cap Rates, Transactions
“The monthly declines in sales volume for the apartment sector were widespread, with all subtypes and deal structures down from a year earlier,” RCA wrote. “This said, the elevated pace of deal activity in June almost suggests acquisitions aimed at hitting midyear goals, with July as a time to pull back and regroup.”
Read more...Apartment Transactions Fall 30% in July | Multifamily Executive Magazine | Dispositions and Transactions, Sales, Cap Rates, Transactions
Multifamily Performance Continues to Lag via GlobeSt.com
With job growth still at a low point and apartment construction as heavy as ever, performance in the market is continuing to lag. However, there is a bright spot on the horizon, albeit in 2018, says Axiometrics, provider of apartment and student housing market intelligence.
“One sunny spot is that the pace of annual effective rent growth decline leveled out a bit,” says Stephanie McCleskey, vice president of research for Axiometrics. “But until the amount of new supply diminishes and the energy sector starts adding jobs again, Houston’s apartment market will likely be sluggish. And effects of supply relief likely won’t be felt until 2018.”
Read more...Multifamily Performance Continues to Lag | GlobeSt.com
“One sunny spot is that the pace of annual effective rent growth decline leveled out a bit,” says Stephanie McCleskey, vice president of research for Axiometrics. “But until the amount of new supply diminishes and the energy sector starts adding jobs again, Houston’s apartment market will likely be sluggish. And effects of supply relief likely won’t be felt until 2018.”
Read more...Multifamily Performance Continues to Lag | GlobeSt.com
Friday, August 19, 2016
Economy Watch: Apartment Starts Gain, Inflation Stays Low via Multi-Housing News Online
Though some U.S. markets are facing a sizable number of apartment properties coming on line— especially in the upper price points in markets such as Seattle and Denver—overall the development of apartment product continues at a fairly strong pace, according to data released by the Census Bureau in its report on housing permits and starts on Tuesday.
In July, apartment starts gained 8.3 percent for the month, noted the bureau (which tracks buildings with more than five units as its multifamily category).
Read more...Economy Watch: Apartment Starts Gain, Inflation Stays Low
In July, apartment starts gained 8.3 percent for the month, noted the bureau (which tracks buildings with more than five units as its multifamily category).
Read more...Economy Watch: Apartment Starts Gain, Inflation Stays Low
Steady Growth in the U.S. Apartment Market via National Apartment Association
Moderation is the word across several apartment market metrics through the first half of 2016. According to MPF Research, annual rent growth slowed somewhat to 4.5%, compared to 4.9% at this time last year. This is still an impressive figure given the duration of the growth cycle, as well as the 15-year average growth rate of 2.4%. Absorption outstripped new supply and occupancy rates inched up 20 basis points to 96.2% after weakening late last year and into the first few months of 2016, exhibiting the continued resilience of apartment market fundamentals.
Read more...Steady Growth in the U.S. Apartment Market | National Apartment Association
Read more...Steady Growth in the U.S. Apartment Market | National Apartment Association
Tuesday, August 16, 2016
ALN Monthly Newsletter August 2016 via ALN Apartment Data
ALN Data just released their July 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter August 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter August 2016 via ALN Apartment Data
Research: Diverging Trends In Market Performance via Realtor.org
With a slowdown in global economic activity, financial market volatility and a contentious presidential campaign, commercial real estate investors have taken a step back in the early months of 2016. The U.S. economy sputtered during the first quarter of 2016, with gross domestic product advancing at a weak 1.0 percent annual rate. The corporate outlook took a downward turn, while international trade bore the brunt of a soft economic environment and rising dollar. However, the markets remained divided along valuation lines, with small cap commercial real estate maintaining momentum against the broader moderation.
Read more...Research: Diverging Trends In Market Performance | realtor.org
Read more...Research: Diverging Trends In Market Performance | realtor.org
Rent Trends in Larger Markets Drive Down National Apartment Performance According to Axiometrics via MultifamilyBiz.com
National annual effective rent growth remained nicely above the long-term average in July 2016, though continued slides in the San Francisco Bay Area, New York and Houston affected apartment rent trends, driving the national rate down to 3.1%, according to Axiometrics, the leader in apartment and student housing market research and analysis.
The July rate was the lowest since the 2.8% of February 2014.
Read more...Rent Trends in Larger Markets Drive Down National Apartment Performance According to Axiometrics | MultifamilyBiz.com
The July rate was the lowest since the 2.8% of February 2014.
Read more...Rent Trends in Larger Markets Drive Down National Apartment Performance According to Axiometrics | MultifamilyBiz.com
Monday, August 15, 2016
Yardi Matrix: San Antonio’s Investor Appeal via Commercial Property Executive
San Antonio’s multifamily market continues to be healthy, with the metro adding jobs and households at an above-trend rate. The metro’s central location within the U.S. and the skill set of the local workforce are attracting investors interested in secondary market expansion.
Read more...Yardi Matrix: San Antonio’s Investor Appeal
Read more...Yardi Matrix: San Antonio’s Investor Appeal
Houston apartment rents drop most among major metro areas via Houston Chronicle
Houston topped a list of metro areas with the biggest declines in rent, a new study shows.
The average rent in Houston fell by 14 percent to $1,306 for a one-bedroom apartment in July, down from $1,521 in July, apartment listing firm Abodo reported.
The drop likely reflects a slowing of job growth at the same time the supply of apartments has increased, the company said. Developers will have added about 35,000 units in the area from January 2015 through December 2016.
Read more...Houston apartment rents drop most among major metro areas - Houston Chronicle
The average rent in Houston fell by 14 percent to $1,306 for a one-bedroom apartment in July, down from $1,521 in July, apartment listing firm Abodo reported.
The drop likely reflects a slowing of job growth at the same time the supply of apartments has increased, the company said. Developers will have added about 35,000 units in the area from January 2015 through December 2016.
Read more...Houston apartment rents drop most among major metro areas - Houston Chronicle
Tuesday, August 9, 2016
CRE Investors Experiencing Déjà vu in Search for Yield via CoStar Group
When I began writing this story on the search for yield in a low-yield environment this week, it had a familiar ring. Turns out this was the same gist of a story I wrote in 2007 -- at the last peak of CRE valuations.
Back then, I wrote: Companies are less likely to bite on deals, but there is no lack of sellers pushing product and capital doesn't appear to be too constricted, just that lenders are a little more demanding.., The majority of real estate CEOs and senior executives expect 2007 to be a year of revenue growth and higher profits, marked by a race to find appropriate investments and take advantage of growth opportunities in a market that continues to be flooded with capital.
Read more...CRE Investors Experiencing Déjà vu in Search for Yield - CoStar Group
Back then, I wrote: Companies are less likely to bite on deals, but there is no lack of sellers pushing product and capital doesn't appear to be too constricted, just that lenders are a little more demanding.., The majority of real estate CEOs and senior executives expect 2007 to be a year of revenue growth and higher profits, marked by a race to find appropriate investments and take advantage of growth opportunities in a market that continues to be flooded with capital.
Read more...CRE Investors Experiencing Déjà vu in Search for Yield - CoStar Group
Texas Employment Revised Down in First Quarter, Rebounds in Second via Dallas Fed
Texas employment grew at a 1.1 percent annualized rate in June; however, a big downward revision to first-quarter job growth resulted in a year-to-date decline of 0.1 percent on an annual basis. The Texas unemployment rate rose slightly to 4.5 percent in June from 4.4 percent in May. Texas real GDP growth slowed to a 0.3 percent annualized rate in the first quarter from 1.4 percent in fourth quarter 2015, in line with the deceleration observed in the labor market.
Read more...Texas Employment Revised Down in First Quarter, Rebounds in Second - Dallas Fed
Read more...Texas Employment Revised Down in First Quarter, Rebounds in Second - Dallas Fed
Monday, August 8, 2016
Yardi Matrix: Dog Days Take Toll on July’s Rent Growth via Commercial Property Executive
Since the beginning of the year, the multifamily industry has feared that its exceptional period of rent growth is due for deceleration. However, in yet another banner month, average U.S. rents increased $4 in July, resulting in a monthly record of $1,217. On a year-over-year basis, rents increased 5.5 percent, which is 10 basis points less than in June, 60 less than in April and 120 basis points less than the recent peak last October.
According to Yardi Matrix’s monthly report analyzing 121 markets, “July’s numbers show that the big picture about the multifamily market continues to be positive.”
Read more...Yardi Matrix: Dog Days Take Toll on July’s Rent Growth
According to Yardi Matrix’s monthly report analyzing 121 markets, “July’s numbers show that the big picture about the multifamily market continues to be positive.”
Read more...Yardi Matrix: Dog Days Take Toll on July’s Rent Growth
Friday, August 5, 2016
Price Growth Regains Speed in Q2 via GlobeSt.com
Commercial property prices benefited from renewed investor confidence in the second quarter, and pricing growth for Q2 reflects that, CoStar Group said Friday. Both of CoStar’s composite Commercial Repeat Sale Indices were up as Q2 ended, following a Q1 that reflected a slowdown, with pricing seeing gains of nearly 2% across all four major property types in the most recent quarter.
The value-weighted US Composite Index, which is influenced by the sale of high-quality, larger assets, advanced by 3.3% from the previous quarter. Meanwhile, the equal-weighted US Composite Index, which includes the more numerous sales of smaller properties, rose 2.1% in Q2.
Read more...Price Growth Regains Speed in Q2 | GlobeSt.com
The value-weighted US Composite Index, which is influenced by the sale of high-quality, larger assets, advanced by 3.3% from the previous quarter. Meanwhile, the equal-weighted US Composite Index, which includes the more numerous sales of smaller properties, rose 2.1% in Q2.
Read more...Price Growth Regains Speed in Q2 | GlobeSt.com
Friday, July 29, 2016
Y'all Street: Could Dallas oust New York City as a global financial capital? via Dallas Morning News
The document’s title holds a dire warning for Wall Street — the place, not the stock market:
“AT RISK,” it says, is “New York’s Future as the World Financial Capital.”
The 2015 report, by business group Partnership for New York City, proceeds to lay out the reasons that the Big Apple is slowly losing its grip on the finance industry, as major players in the sector shift operations elsewhere.
Read more...Y'all Street: Could Dallas oust New York City as a global financial capital? | Dallas Morning News
“AT RISK,” it says, is “New York’s Future as the World Financial Capital.”
The 2015 report, by business group Partnership for New York City, proceeds to lay out the reasons that the Big Apple is slowly losing its grip on the finance industry, as major players in the sector shift operations elsewhere.
Read more...Y'all Street: Could Dallas oust New York City as a global financial capital? | Dallas Morning News
Apartment market 'increasingly jittery' for investors via CNBC
Rents are soaring and demand for apartments is historically high, but some developers and landlords are overestimating the strength of the U.S. apartment market — and paying for it in quarterly earnings.
Others are warning that the second half of this year will be even tougher.
Read more...Apartment market 'increasingly jittery' for investors
Others are warning that the second half of this year will be even tougher.
Read more...Apartment market 'increasingly jittery' for investors
Thursday, July 28, 2016
Freddie: Apartment Market Remains Strong via GlobeSt.com
Multifamily investment fundamentals remain strong both nationally and in most of the 13 major metro areas tracked by Freddie Mac in its quarterly Apartment Investment Market Index, although there are signs of moderation. Reflecting data for the first quarter, the latest AIMI shows the index up slightly—0.30%—to 107.4 from 107 in Q4 of 2015. However, Freddie says that on a year-over-year basis, AIMI continues to trend down, both nationally and in 12 out of the 13 metro areas it tracks, as property value growth exceeds NOI growth in a flat interest rate environment.
Read more...Freddie: Apartment Market Remains Strong | GlobeSt.com
Read more...Freddie: Apartment Market Remains Strong | GlobeSt.com
Wednesday, July 27, 2016
Texas Economic Indicators July 2016 via Dallas Fed
The Texas economy expanded in June. Payroll employment grew during the month, although unemployment ticked up. The Dallas Fed’s Texas Manufacturing Outlook Survey showed that production held steady in July. Construction contract values increased in June, but the five-month moving average dipped. Exports fell in May for the second month. The estimated value of the Texas Leading Index edged down in June.
Read more...Texas Economic Indicators July 2016 via Dallas Fed
Read more...Texas Economic Indicators July 2016 via Dallas Fed
Info for your next rent rant: Dallas sets record for average monthly rate via Dallas Morning News
Dallas-area apartment renters can't catch a break.
They are on average paying about $60 a month more than they were a year ago and there is no sign of a rent slowdown.
Apartment analyst Axiometrics says that average Dallas-area rents in June were $1,129 - an all time high.
Read more...Info for your next rent rant: Dallas sets record for average monthly rate | Dallas Morning News
They are on average paying about $60 a month more than they were a year ago and there is no sign of a rent slowdown.
Apartment analyst Axiometrics says that average Dallas-area rents in June were $1,129 - an all time high.
Read more...Info for your next rent rant: Dallas sets record for average monthly rate | Dallas Morning News
DFW Economic Indicators July 2016 via Dallas Fed
Dallas–Fort Worth economic growth slowed in June as employment contracted and unemployment rose. After benchmark revisions, DFW employment was flat in the first half of the year, slightly better than the state’s −0.1 percent rate. DFW’s office and industrial markets saw continued expansion in the second quarter, and home prices rose further. The Dallas Fed business-cycle indexes indicate continued modest growth for the metroplex.
Read more...DFW Economic Indicators July 2016 via Dallas Fed
Read more...DFW Economic Indicators July 2016 via Dallas Fed
MPF Research Reports on Apartment Construction via Property Management Insider
On the whole, apartment construction continues to be strong in the current cycle. As is always the case, while some markets are on fire, others are lackluster.
Since 2012, inventory across the nation’s top 100 metros has expanded by 8.9%.
The South is seeing the most action, with inventory up 12.2% since 2012. Inventory expansion of only 5.1% leaves the Northeast in the bottom position, with the West and Midwest regions falling in-between.
Read more...MPF Research Reports on Apartment Construction
Since 2012, inventory across the nation’s top 100 metros has expanded by 8.9%.
The South is seeing the most action, with inventory up 12.2% since 2012. Inventory expansion of only 5.1% leaves the Northeast in the bottom position, with the West and Midwest regions falling in-between.
Read more...MPF Research Reports on Apartment Construction
Tuesday, July 26, 2016
Relief for Renters Will Prolong Fed’s Wait to Hit Inflation Goal via Bloomberg
Welcome news for America’s renters could be unhelpful for the Federal Reserve.
A 42-year high in the number of apartment buildings under construction points to an impending surge in supply that portends a moderation in the cost of shelter, which in June capped the biggest 12-month jump in almost a decade. Any cooling in the most pronounced driver of inflation means the Fed will have to wait even longer to reach their 2 percent price target -- a prerequisite for some policy makers to raising interest rates.
Read more...Relief for Renters Will Prolong Fed’s Wait to Hit Inflation Goal - Bloomberg
A 42-year high in the number of apartment buildings under construction points to an impending surge in supply that portends a moderation in the cost of shelter, which in June capped the biggest 12-month jump in almost a decade. Any cooling in the most pronounced driver of inflation means the Fed will have to wait even longer to reach their 2 percent price target -- a prerequisite for some policy makers to raising interest rates.
Read more...Relief for Renters Will Prolong Fed’s Wait to Hit Inflation Goal - Bloomberg
Friday, July 22, 2016
US Home Rental Price Growth Pulls Even With Wages via ABC News
U.S. renters are seeing their housing costs rise at a much more manageable pace, as new construction has tempered years of runaway increases in rent.
Real estate data firm Zillow says that median rent rose a seasonally adjusted 2.6 percent in June from a year ago, matching the gains in average hourly wages. Rental costs have decelerated after consistently exceeding earnings growth in previous years, a sign that additional building is giving more options.
Read more...US Home Rental Price Growth Pulls Even With Wages - ABC News
Real estate data firm Zillow says that median rent rose a seasonally adjusted 2.6 percent in June from a year ago, matching the gains in average hourly wages. Rental costs have decelerated after consistently exceeding earnings growth in previous years, a sign that additional building is giving more options.
Read more...US Home Rental Price Growth Pulls Even With Wages - ABC News
Economy Watch: Apartment Market Not Quite the Juggernaut of Recent Years via Commercial Property Executive
The U.S. apartment market still has considerable strength, according to the latest National Multifamily Housing Council‘s quarterly survey on apartment market conditions, which was released on Thursday, but the surge of supply is finally catching up with persistent demand—for part of the market, that is.
For the third quarter in a row, the organization’s Market Tightness Index was unchanged at 43, showing that supply is a bit stronger than demand. Almost one-third of respondents (31 percent) reported looser conditions than three months ago. At the other end, 18 percent noted tighter conditions, while more than half (51 percent) reported no change.
Read more...Economy Watch: Apartment Market Not Quite the Juggernaut of Recent Years
For the third quarter in a row, the organization’s Market Tightness Index was unchanged at 43, showing that supply is a bit stronger than demand. Almost one-third of respondents (31 percent) reported looser conditions than three months ago. At the other end, 18 percent noted tighter conditions, while more than half (51 percent) reported no change.
Read more...Economy Watch: Apartment Market Not Quite the Juggernaut of Recent Years
ALN Monthly Newsletter July 2016 via ALN Apartment Data
ALN Data just released their June 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter July 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter July 2016 via ALN Apartment Data
Thursday, July 21, 2016
Kingsley: Renewal Intentions Hit All-Time Low via Multifamily Executive Magazine
While overall resident satisfaction remains unchanged this quarter, with 76.7% of residents indicating their overall satisfaction is "good" or "excellent," renewal intentions have reached an all-time low. Only 51.4% residents this quarter responded that they "probably would" or "definitely would" renew their lease, down 0.9% from one year ago.
Read more...Kingsley: Renewal Intentions Hit All-Time Low | Multifamily Executive Magazine | Resident Life, Property Management, Kingsley Associates
Read more...Kingsley: Renewal Intentions Hit All-Time Low | Multifamily Executive Magazine | Resident Life, Property Management, Kingsley Associates
Commercial Real Estate’s Slow-Motion Slowdown: E-Commerce and Other Disruptors of the Seven-Year Boom via Urban Land Magazine
These are heady times for commercial real estate. Fueled by cheap money, low levels of new construction (except for apartments), and modestly improving demand, commercial real estate values have more than doubled from their financial-crisis lows of 2009.
Nevertheless, prices are leveling off as investors have become concerned that the period of extraordinarily low interest rates may soon be coming to an end. In addition, job growth—the source of much real estate demand—will inevitably slow as the economy approaches full employment. At the same time, supply will pick up as more construction is completed in 2017 and 2018.
Read more...Commercial Real Estate’s Slow-Motion Slowdown: E-Commerce and Other Disruptors of the Seven-Year Boom - Urban Land Magazine
Nevertheless, prices are leveling off as investors have become concerned that the period of extraordinarily low interest rates may soon be coming to an end. In addition, job growth—the source of much real estate demand—will inevitably slow as the economy approaches full employment. At the same time, supply will pick up as more construction is completed in 2017 and 2018.
Read more...Commercial Real Estate’s Slow-Motion Slowdown: E-Commerce and Other Disruptors of the Seven-Year Boom - Urban Land Magazine
Best and Worst Apartment Markets in 2016 via NREI
It’s a tough time to pick the strongest apartment markets. That’s because the markets with the strongest demand from renters are also the places where developers are the most eager to build new projects. As a result, the strongest and weakest markets so far in 2016 tend to be places where some kind of surprise has upset developers’ calculations—for better or worse.
Strong despite new supply
Rents are growing quickly in a few cities, including Seattle and Nashville, Tenn., despite very high levels of new construction. “The San Francisco Bay Area, Denver and Seattle have easily been the best performing major markets this cycle,” says Jay Denton, vice president with data firm Axiometrics. “Of that group, Seattle is the only one that remains in the upper-tier of rent growth today.”
Read more...Best and Worst Apartment Markets in 2016
Strong despite new supply
Rents are growing quickly in a few cities, including Seattle and Nashville, Tenn., despite very high levels of new construction. “The San Francisco Bay Area, Denver and Seattle have easily been the best performing major markets this cycle,” says Jay Denton, vice president with data firm Axiometrics. “Of that group, Seattle is the only one that remains in the upper-tier of rent growth today.”
Read more...Best and Worst Apartment Markets in 2016
Friday, July 15, 2016
Demand for Apartments Bounces Back in Second Quarter via NREI
Demand for rental apartments roared back this spring, filling empty units and making up for a weak start to the year.
“Apartment demand surged in second quarter,” says Greg Willett, chief economist for MPF Research, a division of Real Page Inc. “Strong demand pushed occupancy back to the post-recession peak.”
Read more...Demand for Apartments Bounces Back in Second Quarter
“Apartment demand surged in second quarter,” says Greg Willett, chief economist for MPF Research, a division of Real Page Inc. “Strong demand pushed occupancy back to the post-recession peak.”
Read more...Demand for Apartments Bounces Back in Second Quarter
Thursday, July 14, 2016
Austin Economic Indicators July 2016 via Dallas Fed
The Austin economy grew at a healthy pace in May. The Austin Business-Cycle Index further decelerated but expanded at a rate above its long-term trend. Job growth picked up compared with April and was well above that of the state, while the unemployment rate held steady at a 15-year low.
Read more...Austin Economic Indicators July 2016 via Dallas Fed
Read more...Austin Economic Indicators July 2016 via Dallas Fed
DFW Jumps to Number Six for Tech Talent via GlobeSt.com
For the first time, Dallas/Fort Worth jumped to a top 10 position on the annual tech talent scorecard, part of CBRE Group Inc.’s annual Scoring Tech Talent research report, which ranks 50 US and Canadian markets according to the ability to attract and grow tech talent. By adding tech jobs at a faster pace than tech degrees can be issued, DFW is one of the top brain gain markets on the list. DFW-area universities produced 19,129 tech graduates between 2010 and 2014, and added 44,620 tech jobs between 2011 and 2015, for a net gain of 25,491 tech jobs, which was second only to the San Francisco Bay Area.
Read more...DFW Jumps to Number Six for Tech Talent | GlobeSt.com
Read more...DFW Jumps to Number Six for Tech Talent | GlobeSt.com
Dallas Beige Book July 13, 2016 via Dallas Fed
Economic activity in the Eleventh District expanded slightly over the past six weeks. Manufacturing activity fell, while demand for nonfinancial services increased. Retail sales rose slightly on net, with automobile sales remaining strong. Real estate activity continued to expand in most markets. The energy sector saw improved sentiment, although demand for oil field services largely remained depressed. Loan growth softened and agricultural conditions remained favorable. Reports of employment changes and price pressures varied. Outlooks were generally positive but more cautious, with the upcoming presidential elections and the Brexit vote driving some of the uncertainty.
Read more...Dallas Beige Book - Dallas Fed
Read more...Dallas Beige Book - Dallas Fed
Friday, July 8, 2016
DFW Economic Indicators June 2016 via Dallas Fed
The Dallas–Fort Worth economy continued to expand in May. Year to date through May, DFW employment grew an annualized 2.7 percent, twice as fast as the nation’s 1.3 percent rate. DFW home prices continued to climb in the first quarter, and sales were up in April. New-home construction was solid, and multifamily construction, although elevated, appears to be slowing. Unemployment remained near multiyear lows, suggesting continued tightness in the labor market. The Dallas Fed business cycle indexes indicate continued growth for the metroplex.
Read more...DFW Economic Indicators June 2016 via Dallas Fed
Read more...DFW Economic Indicators June 2016 via Dallas Fed
Thursday, July 7, 2016
As Growth in Apartment Rents Slows, U.S. Developers Press Pause via NREI
Developers Steven Shores and Marc Pollack found a way to stand out from the crowd rushing to build apartments in Atlanta’s ritziest neighborhood: they’re putting their 315-unit project in Buckhead on hold.
“We found ourselves wondering if it makes sense now to move forward on a project when four or five others are on the exact same schedule,” said Shores, whose company, Pollack Shores Real Estate Group, will wait a year then reassess its plan for the luxury building. “We are in it for the long term. There’s no reason we can’t hold off temporarily.”
Read more...As Growth in Apartment Rents Slows, U.S. Developers Press Pause
“We found ourselves wondering if it makes sense now to move forward on a project when four or five others are on the exact same schedule,” said Shores, whose company, Pollack Shores Real Estate Group, will wait a year then reassess its plan for the luxury building. “We are in it for the long term. There’s no reason we can’t hold off temporarily.”
Read more...As Growth in Apartment Rents Slows, U.S. Developers Press Pause
Wednesday, July 6, 2016
Reis: Apartment Vacancy Rate unchanged in Q2 at 4.5% via Calculated Risk
Reis reported that the apartment vacancy rate was at 4.5% in Q2 2016 to 4.5%, unchanged from Q1, and up from 4.2% in Q2 2015. The vacancy rate peaked at 8.0% at the end of 2009, and bottomed at 4.2% in 2014 and early 2015.
A few comments from Reis Senior Economist and Director of Research Ryan Severino:
Read more...Calculated Risk: Reis: Apartment Vacancy Rate unchanged in Q2 at 4.5%
A few comments from Reis Senior Economist and Director of Research Ryan Severino:
Read more...Calculated Risk: Reis: Apartment Vacancy Rate unchanged in Q2 at 4.5%
Dallas Beats Austin And Houston In Apartment Stats, But It's Not A Good Thing via BISNOW
Dallas takes the 21st spot in new national rankings from Zumper—but not for an accolade consumers will like. According to an analysis of 1 million active users per month, Dallas is the 21st most expensive city for apartment rentals. Austin, Plano, Houston and Fort Worth ranked 24, 28, 31 and 50, respectively.
Dallas rents are up 11% from last year for one-bedroom apartments and 12% for two-bedrooms, with an average one-bedroom renting for $1,220. Austin rents are down about 2% for both one- and two-bedrooms (you read that correctly: Austin rents are down) with an average one-bedroom price at $1,110.
Read more...Dallas Beats Austin And Houston In Apartment Stats, But It's Not A Good Thing - Multifamily: "DALLAS IS THE 21ST MOST EXPENSIVE APARTMENT MARKET IN US"
Dallas rents are up 11% from last year for one-bedroom apartments and 12% for two-bedrooms, with an average one-bedroom renting for $1,220. Austin rents are down about 2% for both one- and two-bedrooms (you read that correctly: Austin rents are down) with an average one-bedroom price at $1,110.
Read more...Dallas Beats Austin And Houston In Apartment Stats, But It's Not A Good Thing - Multifamily: "DALLAS IS THE 21ST MOST EXPENSIVE APARTMENT MARKET IN US"
Thursday, June 30, 2016
Apartment Volume Falls 27% in May via Multifamily Executive Magazine
Apartment volume fell for the fourth straight month in May—dropping 27% year over year, to $8.4 billion, according to Real Capital Analytics.
All property segments are slowing down. “Transactions involving portfolios and entity-level deals led the decline in May, with volume down 51% year over year on sales of $1.1 billion,” RCA wrote. “Still, this segment of the market is not behind the overall downward trend of recent months. Single-asset deals were down an average of 20% year over year in each of the last three months.”
Read more...Apartment Volume Falls 27% in May | Multifamily Executive Magazine
All property segments are slowing down. “Transactions involving portfolios and entity-level deals led the decline in May, with volume down 51% year over year on sales of $1.1 billion,” RCA wrote. “Still, this segment of the market is not behind the overall downward trend of recent months. Single-asset deals were down an average of 20% year over year in each of the last three months.”
Read more...Apartment Volume Falls 27% in May | Multifamily Executive Magazine
Robust Apartment Demand, Climbing Occupancy and Large Rent Growth Surged in Second Quarter via MultifamilyBiz.com
Demand for U.S. rental apartments surged during the second quarter of 2016, gaining momentum after a sluggish performance in the first three months of the year. The occupied apartment count across the nation’s 100 largest metros increased by 127,402 units in the second quarter, according to MPF Research, the rental market intelligence division of RealPage, Inc. This is one of the biggest quarterly demand totals posted throughout recent years, topping 2015’s second quarter demand volume by 23 percent. Furthermore, apartment demand from April to June well surpassed completions totaling 67,550 units.
Read more...Robust Apartment Demand, Climbing Occupancy and Large Rent Growth Surged in Second Quarter | MultifamilyBiz.com
Read more...Robust Apartment Demand, Climbing Occupancy and Large Rent Growth Surged in Second Quarter | MultifamilyBiz.com
D-FW apartment building booms with more than 50,000 units on the way via Dallas Morning News
North Texas apartment construction has exploded in the last few months, reaching almost unheard of levels.
More than 50,000 apartments are currently being built in the Dallas-Fort Worth area - a jump of almost 7,000 units in just the last three months, according to a new report by MPF Research.
More apartments are under construction in D-FW than anyplace else in the country.
Apartment building volumes in North Texas at midyear are about seven times what they were five years ago, according to MPF Research.
Read more...D-FW apartment building booms with more than 50,000 units on the way | Dallas Morning News
More than 50,000 apartments are currently being built in the Dallas-Fort Worth area - a jump of almost 7,000 units in just the last three months, according to a new report by MPF Research.
More apartments are under construction in D-FW than anyplace else in the country.
Apartment building volumes in North Texas at midyear are about seven times what they were five years ago, according to MPF Research.
Read more...D-FW apartment building booms with more than 50,000 units on the way | Dallas Morning News
Wednesday, June 29, 2016
Rent still soaring but should moderate soon via USA Today
Apartment rents are still surging but some relief is in sight.
Average U.S. rent rose 0.4% in May, matching the record high, according to consumer price index data released this month, the 67th consecutive month of increases.
Rent climbed about 5% in the first half of the year, well above the 3% historical average, says Greg Willett, chief economist at RealPage, a property management software provider. Renting an average market-priced apartment now costs $1,282 a month.
Read more...Rent still soaring but should moderate soon
Average U.S. rent rose 0.4% in May, matching the record high, according to consumer price index data released this month, the 67th consecutive month of increases.
Rent climbed about 5% in the first half of the year, well above the 3% historical average, says Greg Willett, chief economist at RealPage, a property management software provider. Renting an average market-priced apartment now costs $1,282 a month.
Read more...Rent still soaring but should moderate soon
Houston Economic Indicators June 2016 via Dallas Fed
Recent data suggest that Houston’s economy has continued to soften. Higher oil prices may have begun to provide some aid to the still-ailing mining industry, but it’s too soon to tell. Meanwhile, spillovers from the energy industry to service sectors continue to grow. Refining and petrochemicals, health and government continue to add jobs, but the overall outlook remains weak.
Read more...Houston Economic Indicators June 2016 via Dallas Fed
Read more...Houston Economic Indicators June 2016 via Dallas Fed
Tuesday, June 21, 2016
Risk of Overbuilding Inches Up for Class A MF via GlobeSt.com
As 2016 reaches the halfway mark, Fitch Ratings is maintaining its positive view on multifamily fundamentals overall. However, the ratings agency sees an increasing risk of class A overbuilding in some markets.
“The concentration of high-end construction in 12 metro areas is intensifying and new supply in the student housing sector continues to break records,” according to a Fitch report, issued in advance of a webcast Tuesday morning on the US residential sector. “However, we do not expect the stress in multifamily asset performance to have an overall impact on ratings.”
Read more...Risk of Overbuilding Inches Up for Class A MF | GlobeSt.com
“The concentration of high-end construction in 12 metro areas is intensifying and new supply in the student housing sector continues to break records,” according to a Fitch report, issued in advance of a webcast Tuesday morning on the US residential sector. “However, we do not expect the stress in multifamily asset performance to have an overall impact on ratings.”
Read more...Risk of Overbuilding Inches Up for Class A MF | GlobeSt.com
Investors Resist High Prices on Multifamily Assets via NREIonline.com
Investors are still eager to buy apartment properties, but they just aren’t as eager to pay quite so much for them.
“Deal volume is pulling back as buyers and sellers are simply moving further apart on pricing expectations,” says Jim Costello, senior vice president with New York City-based research firm Real Capital Analytics (RCA).
The volume of deals that closed in May to buy and sell apartment properties shrank, after a strong start to the year.
Read more...Investors Resist High Prices on Multifamily Assets
“Deal volume is pulling back as buyers and sellers are simply moving further apart on pricing expectations,” says Jim Costello, senior vice president with New York City-based research firm Real Capital Analytics (RCA).
The volume of deals that closed in May to buy and sell apartment properties shrank, after a strong start to the year.
Read more...Investors Resist High Prices on Multifamily Assets
Apt. Starts Continue Monthly Volatility via GlobeSt.com
he multifamily sector’s volatility in terms of construction starts continued in May, with the federal government on Friday reporting a 1.2% decline in new apartment construction for the month. That followed a jump of 11.9% in April.
Overall, new residential construction nationwide saw a decline of 0.3% from the previous month, with new starts reaching a seasonally adjusted annual pace of 1,164,000, a 9.5% increase from the year-ago period. For single-family housing, the figure was up 0.3% to an annualized 764,000, while starts in properties of five units or more reached 396,000, according to data from the Census Bureau and the Department of Housing and Urban Development.
Read more...Apt. Starts Continue Monthly Volatility | GlobeSt.com
Overall, new residential construction nationwide saw a decline of 0.3% from the previous month, with new starts reaching a seasonally adjusted annual pace of 1,164,000, a 9.5% increase from the year-ago period. For single-family housing, the figure was up 0.3% to an annualized 764,000, while starts in properties of five units or more reached 396,000, according to data from the Census Bureau and the Department of Housing and Urban Development.
Read more...Apt. Starts Continue Monthly Volatility | GlobeSt.com
Monday, June 20, 2016
Dallas Growth by Building Permits via Dallas Observer
North Texas is booming. Through April, the Dallas-Fort Worth metropolitan area had more housing starts this year than any other place in the country, according to U.S. Census data, a solid 12 percent above second-place Houston.
Most of the new units under construction (76 percent) are being built outside of the city of Dallas, and most of them (58 percent) are single-family, which is another way of saying that an ever-increasing share of the region's population is residing in sprawling subdivisions planted on virgin land in Celina or Little Elm.
Read more...Dallas Growth by Building Permits | Dallas Observer
Most of the new units under construction (76 percent) are being built outside of the city of Dallas, and most of them (58 percent) are single-family, which is another way of saying that an ever-increasing share of the region's population is residing in sprawling subdivisions planted on virgin land in Celina or Little Elm.
Read more...Dallas Growth by Building Permits | Dallas Observer
Texas Economy Faces Cross Currents via Dallas Fed
The Texas economy overall presents a befuddled picture. On the upside, employment growth bounced back in April after nearly halting in March but slowed again in May. Oil prices have increased, the rig count ticked up in early June and Texas exports rose strongly in the first quarter. The Texas Leading Index, which forecasts employment growth for the state, also saw broad-based improvement.
Read more...Texas Economy Faces Cross Currents - Dallas Fed
Read more...Texas Economy Faces Cross Currents - Dallas Fed
Friday, June 10, 2016
ALN Monthly Newsletter June 2016 via ALN Apartment Data
ALN Data just released their May 2016 stats on occupancy and rents for over 80 markets. In Texas, it includes DFW, Austin, Houston, San Antonio, Lubbock, Amarillo, Abilene, Corpus Christi and more. It is a must read from a great provider of apartment data.
Read more...ALN Monthly Newsletter June 2016 via ALN Apartment Data
Read more...ALN Monthly Newsletter June 2016 via ALN Apartment Data
Buying or renting, housing affordability just gets worse via CNBC
Mortgage rates may be hovering near record lows, but it's not enough to counter the sky-high, and still rising, prices in many of the nation's largest housing markets.
Big-city rents have been soaring, but now the outlying areas where residents flee to find affordability are seeing even bigger rent gains, too. For homebuyers, the picture is not much better. A very tight supply of homes for sale is pushing home values higher and pricing potential buyers out, both first-time and move-up buyers.
Read more...Buying or renting, housing affordability just gets worse
Big-city rents have been soaring, but now the outlying areas where residents flee to find affordability are seeing even bigger rent gains, too. For homebuyers, the picture is not much better. A very tight supply of homes for sale is pushing home values higher and pricing potential buyers out, both first-time and move-up buyers.
Read more...Buying or renting, housing affordability just gets worse
Tuesday, June 7, 2016
Houston becoming a 'renter's market' with apartment glut via San Antonio Express-News
Houston is likely becoming a renter's market as new luxury apartments high continue to come on line while job and population growth are slower than when the ground was broken on tens of thousands of units.
A midyear report seems to validate concerns forecast by economists earlier this year that Houston's apartment market was overbuilt. The total occupancy in April was 90.1 percent, according to an analysis from the Greater Houston Partnership. The analysis says that conventional wisdom holds that renters hold the cards in a market with occupancy rate below 90 percent. The rate is expected to fall into the mid-80s.
Read more...Houston becoming a 'renter's market' with apartment glut - San Antonio Express-News
A midyear report seems to validate concerns forecast by economists earlier this year that Houston's apartment market was overbuilt. The total occupancy in April was 90.1 percent, according to an analysis from the Greater Houston Partnership. The analysis says that conventional wisdom holds that renters hold the cards in a market with occupancy rate below 90 percent. The rate is expected to fall into the mid-80s.
Read more...Houston becoming a 'renter's market' with apartment glut - San Antonio Express-News
Thursday, June 2, 2016
Austin Economic Indicators June 2016 via Dallas Fed
The Austin economy grew moderately in April. The Austin Business-Cycle Index decelerated but growth remained above its long-term trend. Job growth slowed to an annualized 1.1 percent in April, mirroring the state rate. The unemployment rate held steady at a low level, indicating a tight labor market. Over the past several months, a technology sector slowdown has become a potential headwind to growth in Austin.
Read more...Austin Economic Indicators June 2016 via Dallas Fed
Read more...Austin Economic Indicators June 2016 via Dallas Fed
May the Rent Growth Be with You via Multi-Housing News Online
Rent growth deceleration clearly isn’t as imminent as once thought, as Yardi Matrix’s monthly rent survey reported another all-time high in rent growth. According to the report, U.S. rents increased $10 to an average of $1,204, an average 0.9 percent increase during the month and 6 percent more than this time last year. On a year-over-year basis, metros like Seattle, Sacramento and Portland came out on top with increases of more than 11 percent. Phoenix and Atlanta also displayed strong growth with both falling in the mid-8-percent range. San Francisco, Denver and Houston continue to decelerate.
Read more...May the Rent Growth Be with You
Read more...May the Rent Growth Be with You
Houston Economic Indicators May 31, 2016 via Dallas Fed
The broader economy of Houston continues to struggle as the 2015–16 oil bust matures. The service sector is gradually slowing, and goods producers—particularly those tied to energy—continue to hemorrhage jobs. Leading indicators of the regional economy are mixed but continue to point toward a modestly negative outlook in the near term.
Read more...Houston Economic Indicators May 31, 2016 via Dallas Fed
Read more...Houston Economic Indicators May 31, 2016 via Dallas Fed
Wednesday, June 1, 2016
Dallas Beige Book June 1, 2016 via Dallas Fed
Economic activity in the Eleventh District rose marginally over the past six weeks. Manufacturing activity ticked up and demand for nonfinancial services increased. Retail sales were mixed, with automobile sales remaining strong. Real estate activity continued to expand in most markets, while the energy sector contracted further. Loan demand growth slowed and agricultural conditions improved. Reports of employment changes and price pressures were mixed. Outlooks were generally positive but cautious.
Read more...Dallas Beige Book - Dallas Fed
Read more...Dallas Beige Book - Dallas Fed
Wednesday, May 25, 2016
Texas Not Headed For Recession, Says Dallas Fed Economist via Dallas Fed
Despite the impact of the oil price slump, the Texas economy is not headed for recession, Federal Reserve Bank of Dallas senior economist Keith R. Phillips said in a new video from the Dallas Fed. In fact, based on current data, the probability that Texas will go into recession this year is around 15 percent or lower, Phillips said.
Read more...Texas Not Headed For Recession, Says Dallas Fed Economist - Dallas Fed
Read more...Texas Not Headed For Recession, Says Dallas Fed Economist - Dallas Fed
Could New Supply of Apartments Slow Rising Rents? via Urban Land Magazine
Landlords are confident that apartments are not overbuilt, and rents continue to increase in many markets, but real estate investment trust (REIT) investors are less certain. This is not the first time that investors have become skittish. Concerns about new supply led the REIT sector to pull back in 2013, but the market maintained several additional years of strong growth, fueled by the growing economy, demographic trends that favored renting, and new supply that did not materialize as quickly as expected. This year, deliveries are reaching new peaks, and investor worries about a market softening are reflected in the sector’s –1.12 percent year-to-date total return.
Read more...Could New Supply of Apartments Slow Rising Rents? - Urban Land Magazine
Read more...Could New Supply of Apartments Slow Rising Rents? - Urban Land Magazine
See Austin's rising rents on a map via Austin Business Journal
Austin's rising rents, like overall housing prices in the region, are not slowing down.
Austin was the 20th-most expensive city in the U.S. for renters in April, according to a blog post from real estate website Zumper.com.
Read more...See Austin's rising rents on a map - Austin Business Journal
Austin was the 20th-most expensive city in the U.S. for renters in April, according to a blog post from real estate website Zumper.com.
Read more...See Austin's rising rents on a map - Austin Business Journal
Young people now more likely to live with parents than partners via The Washington Post
For the first time in modern history, living with parents has overtaken other living arrangements for 18- to 34-year-olds, according to a Pew Research Center report released Tuesday.
In 2014, 32.1 percent of young adults lived in their parents’ homes, edging out all other living arrangements, including marriage or cohabitation, living alone, or living as single parents or with roommates.
Read more...Young people now more likely to live with parents than partners - The Washington Post
In 2014, 32.1 percent of young adults lived in their parents’ homes, edging out all other living arrangements, including marriage or cohabitation, living alone, or living as single parents or with roommates.
Read more...Young people now more likely to live with parents than partners - The Washington Post
Monday, May 23, 2016
Dallas Fed: Texas Adds 10,700 Jobs in April; State Employment Forecast Revised Up to 1.5 Percent for 2016 via Dallas Fed
Texas added 10,700 jobs in April, according to seasonally adjusted and benchmarked payroll employment numbers released today by the Federal Reserve Bank of Dallas.
The state added a revised 1,000 jobs in March. Year to date in 2016, jobs have grown at an annualized pace of 1.1 percent after growing 1.3 percent in 2015. The monthly annualized growth rate in April was 1.1 percent.
Incorporating April’s employment data, the Texas employment forecast stands at 1.5 percent growth for 2016, suggesting 179,000 jobs will be added in Texas this year. This is an upward revision from the 1.0 percent forecast that was released by the Bank in April.
Read more...Dallas Fed: Texas Adds 10,700 Jobs in April; State Employment Forecast Revised Up to 1.5 Percent for 2016 - Dallas Fed
The state added a revised 1,000 jobs in March. Year to date in 2016, jobs have grown at an annualized pace of 1.1 percent after growing 1.3 percent in 2015. The monthly annualized growth rate in April was 1.1 percent.
Incorporating April’s employment data, the Texas employment forecast stands at 1.5 percent growth for 2016, suggesting 179,000 jobs will be added in Texas this year. This is an upward revision from the 1.0 percent forecast that was released by the Bank in April.
Read more...Dallas Fed: Texas Adds 10,700 Jobs in April; State Employment Forecast Revised Up to 1.5 Percent for 2016 - Dallas Fed
Apartment Construction Hits 'Peak Year' as Rents, Occupancies Edge Higher via CoStar Group
Multifamily developers continue to churn out record levels of new supply ahead of what is expected to be a 'peak year' for apartment construction in 2016. The number of new apartments under construction is at its highest level since the 1980s, and double the annual historical average seen over the last 34 years.
Almost 205,000 units delivered over the four quarters ending March 31, 2016, a 2% annual increase, including 46,000 units added during the seasonally slow first quarter. With more than 240,000 units expected to deliver across the top 54 U.S. markets this year, CoStar projects 2016 to be the peak year in the current cycle for new apartment construction.
Read more...Apartment Construction Hits 'Peak Year' as Rents, Occupancies Edge Higher - CoStar Group
Almost 205,000 units delivered over the four quarters ending March 31, 2016, a 2% annual increase, including 46,000 units added during the seasonally slow first quarter. With more than 240,000 units expected to deliver across the top 54 U.S. markets this year, CoStar projects 2016 to be the peak year in the current cycle for new apartment construction.
Read more...Apartment Construction Hits 'Peak Year' as Rents, Occupancies Edge Higher - CoStar Group
Wednesday, May 18, 2016
Apartment boom seeing some pullback as lenders tighten their purses via Dallas Morning News
North Texas’ apartment building binge may be hitting a ceiling.
Dallas-Fort Worth apartment building permits dropped by 17 percent in the first quarter, and industry analysts say that funding for new projects is more challenging after years of construction increases.
“We are starting to see the first signs we’ve hit that peak in building activity,” Greg Willett, vice president with apartment analyst MPF Research, told an industry group Tuesday morning. “Of late, the money sources have gotten a little bit more skittish.
Read more...Apartment boom seeing some pullback as lenders tighten their purses | | Dallas Morning News
Dallas-Fort Worth apartment building permits dropped by 17 percent in the first quarter, and industry analysts say that funding for new projects is more challenging after years of construction increases.
“We are starting to see the first signs we’ve hit that peak in building activity,” Greg Willett, vice president with apartment analyst MPF Research, told an industry group Tuesday morning. “Of late, the money sources have gotten a little bit more skittish.
Read more...Apartment boom seeing some pullback as lenders tighten their purses | | Dallas Morning News
Monday, May 16, 2016
Multifamily Investment via The Balance Sheet - Yardi Corporate Blog
This week, Yardi’s Jeff Adler (Vice President of Matrix) and Jack Kern (Director of Research/Publisher of MHN, CPE) presented a biannual webinar on the health and welfare of the U.S. multifamily investment sector.
In an hour-long presentation, Adler and Kern summarized the various forces that impact investment, including job growth, oil prices, rent growth and supply. Data is derived from the reports created by Yardi Matrix, the industry’s most comprehensive apartment market intelligence platform.
While striking a more cautionary note than six months prior, the outlook for multifamily investment remains very positive, Adler said. Occupancy is high and rent growth strong at 6 percent.
Read more...Multifamily Investment | The Balance Sheet - Yardi Corporate Blog
In an hour-long presentation, Adler and Kern summarized the various forces that impact investment, including job growth, oil prices, rent growth and supply. Data is derived from the reports created by Yardi Matrix, the industry’s most comprehensive apartment market intelligence platform.
While striking a more cautionary note than six months prior, the outlook for multifamily investment remains very positive, Adler said. Occupancy is high and rent growth strong at 6 percent.
Read more...Multifamily Investment | The Balance Sheet - Yardi Corporate Blog
Downtown Fort Worth Captures Remarkable Housing Growth as Apartment Occupancy Remains High via MultifamilyBiz.com
Downtown Fort Worth, Inc. has released its 2015 State of Downtown Report, a yearly publication that offers in-depth analysis of Downtown's primary real estate performance indicators and economic, social and education data.
According to data from the report, Downtown has maintained a 91.9% average retail occupancy rate and experienced an 89.9% increase in clothing store sales since 2006. Findings from the report also indicate a growing demand for Downtown housing. Apartment occupancy remained above 96.5% for the year. Investment in Downtown housing is expanding, currently 2,532 residential units are planned or under construction which is a 73% increase in downtown housing inventory.
Read more...Downtown Fort Worth Captures Remarkable Housing Growth as Apartment Occupancy Remains High | MultifamilyBiz.com
According to data from the report, Downtown has maintained a 91.9% average retail occupancy rate and experienced an 89.9% increase in clothing store sales since 2006. Findings from the report also indicate a growing demand for Downtown housing. Apartment occupancy remained above 96.5% for the year. Investment in Downtown housing is expanding, currently 2,532 residential units are planned or under construction which is a 73% increase in downtown housing inventory.
Read more...Downtown Fort Worth Captures Remarkable Housing Growth as Apartment Occupancy Remains High | MultifamilyBiz.com
Friday, May 13, 2016
MF Renewal Rates Dip But Stay Strong via GlobeSt.com
In a case of the glass remaining more than half full even if it emptied slightly, apartment lease renewal rates remained above 50% in April, according to MPF Research. The 52.2% renewal rate among expiring leases last month, down 290 basis points from the 10-year high seen in February and 70 bps from the year-ago period, represented only the third Y-O-Y decline in the past 36 months.
“Declining renewal rates had been expected with so much new supply hitting the market, pulling some renters out of existing top-tier properties,” says Jay Parsons, VP of MPF Research. “And the overall renewal retention rate in April was still quite high relative to the norms.”
Read more...MF Renewal Rates Dip But Stay Strong | GlobeSt.com
“Declining renewal rates had been expected with so much new supply hitting the market, pulling some renters out of existing top-tier properties,” says Jay Parsons, VP of MPF Research. “And the overall renewal retention rate in April was still quite high relative to the norms.”
Read more...MF Renewal Rates Dip But Stay Strong | GlobeSt.com
Subscribe to:
Posts (Atom)