How strong is the country’s multifamily market? A new study by RentCafe found that 43.7 million U.S. households lived in rentals in 2021. That’s the highest this figure has been in the last 55 years.
This decline in demand is not due to affordability but more so due to “a freeze in new household formation,” for example, roommates separating or children moving out of a parents’ home rather than residents moving from Class A to Class B and Class C or from higher-priced cities to more affordable suburbs.
This summer, for the first time in U.S. history, median rent costs in major cities surpassed $2,000 per month, according to a Redfin report issued in May.
Executives at banks with some of the highest commercial property loan concentrations were careful to emphasize earlier this year that they’ve got things under control.
For many property investors, hiring a property manager is well worth the property management fees charged. It’s efficient to pay someone else who specializes in this work to take care of everything.
One of the most fundamental concepts in real estate investing is the capitalization rate, better known as the “cap rate.”