The COO of our SunbeltFunds, Ian Garcia, shares his appraisal of what to expect in 2025 in the multifamily housing sector. 🏠 We expect a rebound in leasing activity driven by economic and wage growth combined with the large gap between the cost of renting versus buying. While some familiar headwinds from prior years will likely persist, we believe that demand will remain strong for the safe and affordable renovated apartments that our team manages through our Sunbelt Multifamily Workforce Housing funds. Read the full outlook here: https://lnkd.in/eUAABv9b
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While the U.S. multifamily housing market faced some significant headwinds in 2024, our Ballast Rock team remains optimistic for 2025. While high borrowing costs will continue to be a headwind, the macroeconomic indicators generally point toward continuing strong demand for renovated and affordable apartments we own and manage in our Sunbelt multifamily real estate funds. Ian Garcia, COO of our Sunbelt Funds, provides an excellent summary in our 2025 Outlook:
The COO of our SunbeltFunds, Ian Garcia, shares his appraisal of what to expect in 2025 in the multifamily housing sector. 🏠 We expect a rebound in leasing activity driven by economic and wage growth combined with the large gap between the cost of renting versus buying. While some familiar headwinds from prior years will likely persist, we believe that demand will remain strong for the safe and affordable renovated apartments that our team manages through our Sunbelt Multifamily Workforce Housing funds. Read the full outlook here: https://lnkd.in/eUAABv9b
Ballast Rock | 2025 Multifamily Real Estate Outlook
ballastrock.com
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Unexpected Twist in 2024: Multifamily Booms! June saw a 3% rise in housing starts, hitting 1.35M units annually. Multifamily construction surged by 19.6%, reaching the fastest pace since 1986! Permits rose 3.4%, driven by a 15.6% rise in multifamily permits. The Off Market Buying window is closing! Stay Tuned at; https://lnkd.in/gSFpezNf #multifamily #multifamilyinvesting
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Commercial Real Estate development is fraught with peaks and valleys. In the case of multifamily, it seems that by the time supply has caught up with the demand that initially drove the investment, that demand has already been satiated...until the cycle starts again. This is a primary reason developers and investors are lobbying local governments to expedite the entitlement and permitting process. Markets can change in the amount of time it takes to go from application to lease-up! As noted in the article, in the DFW area "The market is expected to rebalance over the near term as construction levels fall to a 10-year low."
Dallas-Fort Worth multifamily market in search of rent recovery in 2025
costar.com
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BREAKING: US multifamily housing unit completions hit 647,000 at an annual rate in Q3 2024, the fastest pace in 3 decades. Since 2022, additions of housing units in buildings with 5+ units have more than DOUBLED. By comparison, in 2010 after the Financial Crisis, this number was 6 TIMES lower. Such a rapid surge in multifamily construction will likely begin cooling rent prices. Renting may soon become more affordable. https://lnkd.in/ddyPXD6P
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BREAKING: US multifamily housing unit completions hit 647,000 at an annual rate in Q3 2024, the fastest pace in 3 decades. Since 2022, additions of housing units in buildings with 5+ units have more than DOUBLED. By comparison, in 2010 after the Financial Crisis, this number was 6 TIMES lower. Such a rapid surge in multifamily construction will likely begin cooling rent prices. Renting may soon become more affordable. https://lnkd.in/ddyPXD6P
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Chief Executive Officer at Land Bank Turkey. Real Estate Investment Consultancy and Development.
BREAKING: US multifamily housing unit completions hit 647,000 at an annual rate in Q3 2024, the fastest pace in 3 decades. Since 2022, additions of housing units in buildings with 5+ units have more than DOUBLED. By comparison, in 2010 after the Financial Crisis, this number was 6 TIMES lower. Such a rapid surge in multifamily construction will likely begin cooling rent prices. Renting may soon become more affordable. https://lnkd.in/dkwZSYFP
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multifamily market update Contact me to discuss the latest scoop in real estate! #washington #washingtondc #washingtonhomes #washingtondchomes #washingtonhousing #washingtondchousing #washingtonrentals #realestate #realtor #realestateagent
multifamily market update
roomvu.com
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2024 Q1 Multifamily Charleston Report Contact me to discuss the latest scoop in real estate! #southcarolina #southcarolinahomes #southcarolinahousing #southcarolinarealtor #southcarolinarealestate #southcarolinarentals #southcarolinainvesting #realestate #realtor #realestateagent
2024 Q1 Multifamily Charleston Report
roomvu.com
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🔮 Prediction: As South Florida developers gear up to complete a record number of multifamily units by 2024, the real estate market in the region is poised for a major shift. Here are my thoughts on what we can expect in the coming years: • The surge in multifamily construction is likely to introduce more inventory into the market, leading to increased competition among landlords and property managers. • With more options available to renters, we can anticipate a stabilization in rental rates and slower growth in leasing activity over the next few years. This represents a significant opportunity for both renters and investors in the South Florida market. As the supply-demand dynamics evolve, it will be intriguing to see how the industry adapts to these changing conditions. I believe these developments will have a profound impact on the local economy, housing market, and overall investment landscape. Stay tuned as we witness the transformation unfolding in South Florida's real estate sector - exciting times ahead!🏙️🌴
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City of Milwaukee and City of Madison, WI metro housing markets are among the highest-occupancy with demand for new supply relative to the pace of new supply additions has been among the strongest in the county. Wisconsin communities continue to be highly desirable places to live and invest. League of Wisconsin Municipalities American Planning Association - Wisconsin Chapter Urban Land Institute
Tight multifamily fundamentals in Milwaukee and Madison aren't positioned to let up any time soon. The two metros stand as some of the highest-occupancy markets in the country and demand for new supply relative to the pace of new supply additions has been among the strongest nationwide. In fact, Madison ranks as the top market in the country for what I would call a severe supply-demand imbalance. Across the country, it would take an estimated 2.9 years on average for renters to absorb new and under-construction inventory if nothing else were to break ground today. In Madison, that figure falls to just 1.3 years, with Milwaukee also outperforming the average at 2.7. Construction activity has fallen in Milwaukee and Madison by roughly 35% and 50% from peak levels two years ago, and based on the recent velocity of construction starts, this figure is set to fall further in the coming quarters. With recent rate cuts, we could see some relief on the borrowing side that could help put more shovels in the ground early next year, but there really needs to be a concerted effort across state, county, and local governments to dig us out of these holes. And this isn't just true in Milwaukee and Madison. There's a statewide housing shortage. As announced by Lafayette Crump at the BizTimes Media Commercial Real Estate and Development Conference a couple of weeks ago, I applaud the City of Milwaukee for pursuing the development of a program that would help fund the development of housing at 60-100% of AMI. In conversations I have with developers across the state, it's clear that new tools are needed to help facilitate development across a variety of housing types and price points. There is no one-size-fits-all solution, and we don't know yet what it'll look like, but this program could be a great step toward progress and addressing prohibitive funding gaps that have seen many developers to go pencils down in a segment that sorely needs it. Thoughts? Questions? Seeing something else in the market? Drop a comment 👇
Two Wisconsin multifamily markets rank among tightest, most underbuilt in US
costar.com
