Bonnie Habyan’s Post

doing diligent market analysis will matter now more than ever

🏠📈 Single-family starts rise 2.7% in September! Despite ongoing challenges in the multifamily sector, single-family construction continues to climb, with a 10.1% year-to-date increase. Builder sentiment is improving as mortgage rates are expected to ease in the coming months. #HousingStarts #HomeBuilding #MarketTrends #A1Industries https://lnkd.in/g7xZ6hnZ

CoStar News: Multifamily rent growth across the United States will climb 2.5% next year, slightly below the annual average for the past two decades, according to a forecast by one of the nation's biggest buyers of mortgage loans. “In 2024, the multifamily market may see additional strain from high levels of new supply and continued high interest rates but remains a favorable asset class given the state of the for-sale market and long-term demographic trends.” Sara Hoffmann, Director of Multifamily Research, Freddie Mac. #multifamily #realestate #privateequity #livingsector #alternativeinvestments

Bracing for a flourishing 2024 in the housing market, NAHB chief economist Rob Dietz expects the year ahead to be poised for gains in single-family construction and existing-home sales. Projections indicate a 3% to 4% growth in single-family starts, surpassing one million. ⁠ ⁠ Dietz highlights the anticipated impact of lowered and stabilized mortgage rates, set to reach around 6.5% by the fourth quarter of 2024. ⁠ ⁠ Learn more about the state of new-construction builds at the link below from Builder Magazine 🔨⁠ https://lnkd.in/ggs2qcxb ⁠ #McLainAndMerritt #CommercialRealEstate #ResidentialRealEstate #AtlantaClosingAttorneys #AtlantaRealEstateLaw #AtlantaRealEstate ⁠#AtlantaLawFirm

📊 Freddie Mac's Q2 Multifamily Apartment Investment Market Index: Key Takeaways 📊 The multifamily investment market saw mixed results in Q2 2024, with both positive and negative trends emerging across net operating income (NOI), property prices, and mortgage rates. 🏢 NOI: • Q2 2024: The nation and 19 metros posted growth, with only two metros declining and four remaining flat. • YoY: NOI increased nationally, but 14 of 25 markets saw declines. • Leader: District of Columbia (+4.4%) | Laggard: Jacksonville (-5.5%) 💰 Property Prices: • QoQ: Property prices dropped nationwide, with only four markets seeing modest gains, led by Boston (+0.6%). • YoY: Prices declined across all markets, with an -8.3% national drop and 11 markets experiencing double-digit contractions. 📈 Mortgage Rates: • Q2 2024: Mortgage rates increased by 21 basis points, reversing the drop from Q1. • YoY: Rates are up 64 bps, a smaller increase than the surges seen in 2022 and 2023.

🛠️ High interest rates continued to impact housing starts in May, with overall starts down 5.5% to a 1.28 million unit rate. Single-family starts, up 18.8% year-to-date, decreased 5.2%, while multifamily starts fell 6.6% to the lowest pace since 2020. Challenges in financing and labor availability persist amid a competitive mortgage environment. This decline in housing starts, along with rising prices for single-family housing, may contribute to increased demand for multifamily housing in the near future.🏗️📉 #HousingConstruction #EconomicImpact #HomeBuilding #RealEstateData

🚀 Average mortgage payments are currently 38% HIGHER than average apartment rents as of the end of last year. 🏠 Naturally, this has led more U.S. households to continue living in rentals instead of looking to buy. 👉 CBRE's data shows it'll be AT LEAST 5 YEARS until the two expenses become as closely aligned as they were before the steep increase in 2021. 💡 The takeaway? ✅ Keep investing in apartments ➡️ GibsonCapital.co —————————————— 📰 Read the full article: https://lnkd.in/eqEEQQcb

🏢 Newmark Says Multifamily Demand Soars 102% in Q2 📈 Rising Demand: 📊 Multifamily demand surged by 102% in Q2, reaching 161,707 units. Rolling four-quarter demand also saw a notable increase, hitting 389,629 units. Demand remains particularly strong in Sun Belt cities like Austin, Raleigh/Durham, and Nashville, surpassing long-term averages by 64.4%. Homeownership vs. Rental Costs: 🏡 The gap between homeownership and rental costs widened to $1,114, a 26.7% increase year over year. The MBA's Mortgage Application Index has dropped 48.4% since March 2022, with applications at their second-lowest level in nearly 25 years. Mortgage rates for a 30-year fixed loan hit 6.86% this quarter. New Deliveries: 🚚 Over 157,000 multifamily units were delivered in Q2, surpassing the previous record of 126,591 set earlier this year. New deliveries are expected to accelerate through Q4 2024 before slowing down in early 2025. Construction Trends: 🏗️ Despite a high volume of new supply, multifamily units under construction declined to 880,000, an 11.4% drop year over year. The peak of 993,000 units was reached in Q2 2023. A reduction in rolling four-quarter starts and permits suggests deliveries will normalize in 2025 and 2026. Rent Growth: 📈 Quarterly rent growth rose to 1.1% in Q2 2024. Year-over-year growth remained steady at 0.2% for the third consecutive quarter but is projected to increase as new supply concerns ease through late 2024 and into 2025. Loan Maturities and Financing: 💰 $669 billion in multifamily loans are set to mature over the next two years, primarily held by GSEs and banks. Despite a decline in originations (32% for banks and 22% for GSEs), commercial mortgage-backed securities saw a 167% year-over-year growth in Q1 2024. Sales Volume: 💼 Sales volume jumped to $38.8 billion in Q2 2024, marking a 20.4% increase year over year. This represents the first positive year-over-year change in volumes since Q2 2022, driven by a surge in portfolio and entity-level transactions. Takeaway: The multifamily sector is experiencing robust demand amidst high homeownership costs and accelerating new deliveries. With evolving construction trends and a positive outlook on rent growth, the market shows promising signs for investors and stakeholders. https://lnkd.in/gp-M2nVe

🏡📈 Are you feeling the impact of higher interest rates on the real estate market? 📉💰 As interest rates continue to rise, many potential homebuyers are starting to feel the pinch. With higher rates, mortgage payments are increasing, making it more challenging for some buyers to afford their dream home. 💸💔 If you're in the market for a new home, carefully consider your options and weigh the pros and cons of buying in a higher rate environment. With the right strategy and guidance, you can still make your homeownership dreams a reality. 🌟🔑 #RealEstateRoundup #HigherRates #HomeownershipDreams https://hubs.la/Q02FRvXS0

🏡📈 Are you feeling the impact of higher interest rates on the real estate market? 📉💰 As interest rates continue to rise, many potential homebuyers are starting to feel the pinch. With higher rates, mortgage payments are increasing, making it more challenging for some buyers to afford their dream home. 💸💔 If you're in the market for a new home, carefully consider your options and weigh the pros and cons of buying in a higher rate environment. With the right strategy and guidance, you can still make your homeownership dreams a reality. 🌟🔑 #RealEstateRoundup #HigherRates #HomeownershipDreams https://hubs.la/Q02FRJJ_0