Why is the construction of multi family housing and apartment buildings on the rise? Because the demand is up, rents are rising, and vacancies are few!
According to property intelligence from Rent Cafe, to meet the demand of renters, we need 4.6 million new apartments by 2030. That is almost 400 new units a year. That is a 21 percent increase compared to last year’s completions. With the average U.S. rent increase is a modest 3.9 percent in 2017.
Rent Growth Trends in Orlando, Florida
The Orlando Sentinel recently wrote an article about the spike in rental units in Central Florida.
“An influx of new luxury complexes filled with one-bedroom units pushed up the average rental on those apartments by 15 percent from a year ago and 5 percent from a month earlier, reaching an average $1,170, according to research released Tuesday by the analytics firm Zumper. Household income in Metro Orlando rose 1.2 percent during that period, the federal government reported.”
The annual rent growth in Orlando is one of the best in the nation.
“For landlords, the region has been identified as a standout for its rising rents. Brian Alford, market economist for the CoStar Group, said Orlando’s annual rent growth is one of the best in the nation. The four-county area had fourth highest year-over-year rent gains among the nation’s top 54 metro areas, he said.”
Renters have to search high and low to find a deal.
“This trend bodes well for landlords looking to invest in the area.” said Ryan Coon, an author who writes on landlord issues.
With vacancies down in the multi-family and apartment housing in Southeastern United States, rental applications are at an all time high. It is an excellent time to invest in the multi-family housing market.
The expert management team at SWET Construction Group is proud to provide cost competitive construction. All of our projects receive continuous supervision, customer satisfaction and attention to detail, from beginning to end.
If you are thinking about moving forward with your apartment or Multi-family housing development or have any questions, contact SWET Construction Group.