Multifamily 2017 Outlook: Positioned for Further Growth

Good news for apartment investors. According to FreddieMac it looks like 2017 will be another solid year of growth and rent increases…..

Freddie Mac Multi-Family Outlook – January 2017

The multifamily market has enjoyed several years of rapid growth and seems poised to continue to grow in 2017, although at a more moderate pace.

• Slow-but-steady economic growth continued in 2016, which supported strong demand for multifamily rental units. Despite high levels of construction permits and starts, vacancy rates remained flat, while strong demand pushed up rents and gross-income growth above the historical norm.

• A greater amount of new supply will be delivered to the market in 2017 but most of it will be absorbed, given continued economic growth and strong multifamily fundamentals. Vacancy rates will increase slightly, but still leave room for rent and gross-income growth.

• The top 10 list of fastest-growing metropolitan areas will see some jockeying for position in 2017, with smaller, more affordable markets making a showing.

See full outlook report