New apartment projects and construction of multi-family housing are having a difficult time keeping up with demand
Rents are on the rise as much as 7.7 percent as vacancies are decreasing. The vacancy rate in 2011 was 5.9 percent, this rate has dropped considerably in 2017 it is down to 3.9 percent.
“Today’s strong demand for apartments reflects the combination of solid job formation, continued limited loss of renters to home purchase, and widespread availability of appealing new apartments,” said Greg Willett, chief economist for RealPage, in a statement.
“Axiometrics has found that there are almost no vacancies in the nation’s existing apartment communities – meaning that the new communities that exist are competing for initial residents,” according to an article in Multifamily Executive.
Over the past 10 years the attitude about multi-family housing has changed in our culture. Going from a negative low income necessity to the living choice for many middle and upper class for both the younger and older generations.
The apartments themselves have also changed, they now include granite counter tops throughout the kitchen and bathroom, units with a separate laundry room with washer and dryer hook-ups, large furnished gathering area, clubhouse complete with a business center, high tech gym, yoga studio, pool, separate bathrooms, outdoor kitchen, car wash bay, storage facility, playground, and a dog park.
Though apartments may be smaller than ever before, common areas are growing. Owners are attracting more renters to their property with great amenities. Those that compliments their flexible lifestyle, especially Millennials.
Multi-Family housing has become more than just somewhere to live. Residents are looking for somewhere to call home. Somewhere they can not only live, but to work and play.
SWET Construction Group
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