This week’s multifamily roundup takes a look at U.S. apartment demand, the economy’s longest expansion on record and the mortgage industry’s new interest-rate index. First, RealPage reports that the apartment sector’s performance in the second quarter was strong, with demand reaching a five-year high. Next, Arbor’s Chatter blog releases the first part of a new video series, in which Chandan Economics Founder Sam Chandan reports on the state of the U.S. economy, which is currently experiencing the longest expansion in U.S. history. MarketWatch discusses how the mortgage industry is preparing for a new interest-rate index, Secured Overnight Financing Rate (SOFR), which is likely to replace Libor. Then, Terner Center examines the lack of multifamily supply in California, arguing that the state’s most expensive cities should be building more units, especially for low- and middle-income residents. Finally, Forbes recommends several ways owners and managers of rental properties can attract Millennials, one of the largest renter segments in the country.
U.S. Apartment Demand Hits Five-Year High
RealPage – July 8
“The recent quarterly performance followed two quarters of slower-than-usual leasing activity in the cold weather months of late 2018 and early 2019.”
Video: The U.S. Economy’s Expansion and Potential for a Market Correction
Arbor Chatter – July 11
“In this new video series from Arbor and Chandan Economics, we offer key insights into the state of the U.S. economy and the record expansion we’ve seen over the last decade.”
Mortgage Industry Should Prepare for New Interest-Rate Index
MarketWatch – July 11
“Fannie and Freddie are already starting to build out their systems to accommodate a link to SOFR. But it could take as much as 12-18 months for the industry, including lenders and other originators, to prepare for the transition.”
California Needs to Build More Apartments
Terner Center – July 11
“Across much of California, apartment markets are working in the opposite way that economists expect: communities with high rents build fewer new apartments than lower-rent communities within the same metropolitan area.”
Appealing To Millennial Renters Who Wish To Remain Child-Free And Mortgage-Free
Forbes – July 11
“If you own or manage rental properties, your ideal tenant is likely a young, gainfully employed person who plans to rent long-term. Luckily for you, this dream occupant comprises one of the largest renting demographics: millennials.”
