Texas Economic Indicators January 2020 via Dallas Fed

The Texas economy continued to grow in December, with payrolls expanding at an above-average pace. The unemployment rate increased for the first time since January 2019. The Texas Leading Index fell, and single-family home inventories tightened. Construction contract values ticked down. Migration to Texas between July 2018 and July 2019 increased.

Read more... Texas Economic Indicators January 2020 via Dallas Fed

Top 5 Markets for Multifamily Transactions in 2019 via Multi-Housing News Online

The nation’s transactions volume for multifamily assets reached $92.5 billion in 2019, almost on par with the 2018 level of $95 billion, according to Yardi Matrix data. The deals closed in the five markets on this list accounted for a combined total of $28.8 billion, about a third of the nation’s sales volume.

Read more...Top 5 Markets for Multifamily Transactions in 2019 via Multi-Housing News Online

CBRE: Multifamily Market Benefiting From Student Debt via Multi-Housing News Online

CBRE’s latest U.S. Multifamily Research Brief, Student Debt Woes Feed Multifamily Markets, focuses on how student debt is holding back many Americans from home buying, and prolonging their stay in apartments. But it held a pleasant surprise from a societal viewpoint.

“The percentage of students graduating with student debt is edging down,” Americas Head of Multifamily Research for CBRE|CBRE Research Jeanette I. Rice, told Multi-Housing News. “Everyone—apartment owners alike—would agree that it would be good for the country if the younger generation did not have to take out as much student debt to obtain an undergraduate and/or graduate degree.”

Read more...CBRE: Multifamily Market Benefiting From Student Debt via Multi-Housing News Online

ALN Monthly Market Stats January 2020 via ALN Apartment Data

ALN Data just released their December 2019 market 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 Market Stats January 2020 via ALN Apartment Data

More new apartments opening in D-FW than any other U.S. metro via Dallas Morning News

Dallas-Fort Worth is headed for another year of near record apartment openings — more than any other metro area in the country.

Almost 26,000 new apartments are set to open in North Texas this year, 14% more than in 2019, according to a new report from Richardson-based RealPage.

D-FW’s new apartment supply will far outrank number-two market Los Angeles, which is expecting 17,582 new rental units to open this year.

Read more...More new apartments opening in D-FW than any other U.S. metro via Dallas Morning News

Gross Domestic Product by State, Third Quarter 2019 via BEA.gov

Real gross domestic product (GDP) increased in 49 states and the District of Columbia in the third quarter of 2019, according to statistics released today by the U.S. Bureau of Economic Analysis. The percent change in real GDP in the third quarter ranged from 4.0 percent in Texas to 0.0 percent in Delaware

Read more...Gross Domestic Product by State, Third Quarter 2019 via BEA.gov

Eleventh District Beige Book 1/15/2020 via Dallas Fed

The Eleventh District economy expanded solidly over the reporting period, with growth increasing in most sectors. The energy sector remained weak, although drilling activity ticked up. Home sales continued to rise, even beating some expectations. The agriculture picture remained mixed. Employment growth was moderate, and upward wage pressures continued as labor availability remained a key concern. Selling prices were largely flat, while input prices continued to rise. Outlooks generally improved, with reduced trade uncertainty boosting optimism.

Read more...Eleventh District Beige Book 1/15/2020 via Dallas Fed

Freddie Mac: Originations Will Hit $390B in 2020 via Multi-Housing News Online

Freddie Mac is expecting continued growth in the multifamily market throughout 2020. In its just-released Multifamily 2020 Outlook report, the government-sponsored enterprise predicted that final numbers from 2019 will show the multifamily market in the U.S. finishing 2019 with solid rent growth and only modest vacancy rate increases, despite an increased amount of supply.

Read more...Freddie Mac: Originations Will Hit $390B in 2020 via Multi-Housing News Online

It’s cheaper to rent than to buy in Dallas, study says via Dallas Business Journal

Buying a home is more affordable than renting in 53 percent of U.S. housing markets, but Dallas County is not one of them, according to a new report.

In Dallas County, it’s less expensive to rent a three-bedroom property than it is to own a median-priced, three-bedroom home, according to real estate analytics company ATTOM Data.

Read more...It’s cheaper to rent than to buy in Dallas, study says via Dallas Business Journal

Survey: U.S. Economy and Real Estate Market Not Ready to Retire via Urban Land Magazine

There is no end in sight for the long-lived U.S. economic and real estate market expansion, according to leading real estate economists. The U.S. economy will continue to expand through 2022, job growth will slow but stay above the long-term average, and core real estate returns will decelerate but stay comfortably above fixed-income alternatives. Rent growth will be modest but positive for all property types, led by industrial and apartments. Even the much-maligned retail sector will have positive rental rate growth over the next three years.

Read more...Survey: U.S. Economy and Real Estate Market Not Ready to Retire via Urban Land Magazine

REIS Records Lowest Annual Rent Growth in Two Years for Q4 2019 via Multifamily Executive Magazine

The apartment vacancy rate rose to 4.7% in the fourth quarter of 2019, up from 4.6% in the third quarter, according to the latest REIS Preliminary Trends Report. The vacancy rate was 4.8% at the end of 2018 and 4.6% at the end of 2017.

Both the national average asking rent and effective rent rose by 0.5% in Q4 2019, up to $1,498 for asking rent and $1,426 for effective rent. Average asking and effective rents have risen by 3.7% and 3.8%, respectively, since the fourth quarter of 2018, marking the lowest annual rent growth rate in two years.

Read more...REIS Records Lowest Annual Rent Growth in Two Years for Q4 2019 via Multifamily Executive Magazine

DFW apartment market ends 2019 on solid ground via Dallas Business Journal

Despite apartment absorption falling short of December 2018 and 2017, 2019 ended on solid footing for the local market, which saw a slight rise in occupancy and rents along with positive absorption overall, according to ApartmentData.com.

Dallas-Fort Worth's apartment occupancy rate ended the year at 91.3 percent, up slightly from November's 91.2 percent. Absorption remained positive at 596 units, thanks in part to no new apartment complexes entering the market in December.

Read more...DFW apartment market ends 2019 on solid ground - Dallas Business Journal

Expect Yields on Multifamily Investments to Tighten Further via NREI

The combination of strong fundamentals, low interest rates and intense interest from investors should make for another white hot year for the multifamily sector.

Although 2020 faces its fair share of uncertainty with worries of a potential recession, a volatile geopolitical picture and ongoing trade wars, investors looking for low-risk returns could still flock to the sector.

Read more...Expect Yields on Multifamily Investments to Tighten Further via NREI

Dallas-Fort Worth Economic Indicators January 2020 via Dallas Fed

Dallas–Fort Worth economic growth remained on track in November. Payroll employment grew at a rapid clip, and unemployment stayed low. The Dallas and Fort Worth business-cycle indexes expanded at an above-average pace. Housing market indicators suggest steady home-price appreciation and continued homebuilding activity. Home inventories remained tight, particularly at the lower price points.

Read more...Dallas-Fort Worth Economic Indicators January 2020 via Dallas Fed

Austin Economic Indicators January 2020 via Dallas Fed

The Austin economy continued to expand in November. The Austin Business-Cycle Index grew near its long-term average. Unemployment remained unchanged from the previous month, while job growth slowed somewhat in recent months. Housing affordability increased in third quarter 2019, metro home sales were robust, and median home prices decreased.

Read more...Austin Economic Indicators January 2020 - Dallasfed.org

DFW apartment leasing slowed to a crawl in fourth quarter via Dallas Morning News

North Texas apartment renters took a holiday during the final months of 2019.

Net leasing slowed to a crawl, with only 168 additional apartment units occupied during the fourth quarter.

That’s a plunge in rental activity from the more than 16,500 Dallas-Fort Worth apartments leased during the second and third quarters, according to RealPage.

Read more...DFW apartment leasing slowed to a crawl in fourth quarter via Dallas Morning News

Workforce Multifamily Rentals Will Remain CRE's 'Darling' In 2020 via Forbes

As the U.S. economy continues its longest ever expansion, the labor market is making history as well with the lowest unemployment rate in 50 years. That’s great news for investors looking for compelling return opportunities in the commercial real estate market. But because pricing for all types of CRE products has also increased, it’s vital to look for areas of opportunity, such as workforce multifamily rentals in secondary markets with strong fundamentals.

Read more...Workforce Multifamily Rentals Will Remain CRE's 'Darling' In 2020 via Forbes