Technology
Despite Anticipated Rent Slowdown, Multifamily Poised for a Strong 2022, Yardi Matrix Reports

Despite Anticipated Rent Slowdown, Multifamily Poised for a Strong 2022, Yardi Matrix Reports

SANTA BARBARA, Calif., Jan. 21, 2022 /PRNewswire/ — The multifamily market appears poised for another solid year in 2022, according to the U.S. Multifamily Outlook for Winter 2022, released today by Yardi® Matrix.

While the record-setting rent gains recorded in 2021 are not expected to repeat this year, analysts anticipate demand for apartments will remain robust, highlighted by strong economic growth and household formation. Investor activity is also expected to continue apace, as capital conditions look favorable and multifamily traditionally offers stable income and low mortgage rates.

Powering the positive outlook is the continued strength of the economy and consumer demand.

“The economy is benefiting from lingering monetary stimulus, job growth, higher wages and consumer wealth, while supply-chain issues have continued into 2022. Inflation and the labor shortage are the biggest headwinds, but most of the negative ramifications from those matters won’t be felt until 2023 or later,” states the new report.

Asking rents rose 13.5 percent nationally in 2021. Anticipated rent growth for 2022 is less than 5 percent, according to Matrix. Economic growth is also expected to step back from the roughly 6 percent increase it recorded last year.

Concerns about oversupply have also so far proven to be unfounded and builders are ramping up for new projects nationwide. As of the beginning of 2022, more than 750,000 market-rate apartment units were under construction, with about half expected for delivery this year.

Learn more about what’s expected for multifamily in 2022.

Yardi Matrix offers the industry’s most comprehensive market intelligence tool for investment professionals, equity investors, lenders and property managers who underwrite and manage investments in commercial real estate. Yardi Matrix covers multifamily, student housing, industrial, office and self storage property types. Email [email protected], call (480) 663-1149 or visit yardimatrix.com to learn more.

About Yardi

Yardi® develops and supports industry-leading investment and property management software for all types and sizes of real estate companies. Established in 1984, Yardi is based in Santa Barbara, Calif., and serves clients worldwide. For more information on how Yardi is Energized for Tomorrow, visit yardi.com.

Cision View original content to download multimedia:https://www.prnewswire.com/news-releases/despite-anticipated-rent-slowdown-multifamily-poised-for-a-strong-2022-yardi-matrix-reports-301465947.html

SOURCE Yardi

Leave a Reply

Your email address will not be published.