Multifamily Housing Production Reaches a Point of Stability for 2018
Multifamily housing demands should be met with sufficient production numbers in 2018, according to a recent report from National Mortgage News.
"Though multifamily housing starts are projected to slightly moderate this year and in 2019, production levels are expected to remain in a steady range considered normal, with low supply actually contributing to this stabilization, according to the National Association of Home Builders," reported NMN.
While multifamily starts are projected to drop slightly over the course of this year and next, the report claims that there is no weakness in the market.
"From 1995 through 2005, multifamily starts averaged 335,000," said Neal at the NAHB's International Builders' Show, according to the report.
"Construction activity during the past four years has been running above this trend, and we are seeing the market stabilizing near more normal production levels."
With a current inflation in rental payments, families are starting to reach a point where rent is becoming to eat up most of their incomes. At this rate, there will be a demand for affordable rental properties, according to the report.
To learn more about the stabilizing multifamily housing demands, click on the image above.