With 4.6 million new apartments needed by 2030, it looks like the sky is the only limit to the ever-growing demand in the rental sector. However, 2017 comes with some great news from the developers’ front: the latest data from Yardi Matrix indicates apartment construction is at a 20-year high and apartment completions are expected to top 345,000 (a 21% increase compared to last year).
Here are some highlights that might interest you:
• New York and Texas lead the way with over 20,000 new units to be delivered by the end of the year.
• Going south, Nashville metro stands out as one of the best performing housing markets: a little over 8,500 new units are scheduled to enter the market by the end of 2017 (almost twice as many as last year).
• With an amazing 4% job growth (the second highest growth rate of the 100 largest U.S. metros we analyzed) and a 2% growth in population, it looks like this boost in the rental stock is more than welcome.
Doug Ressler, Yardi Matrix senior analyst, states: “The number of new apartments popping on Nashville’s housing scene is astonishing. As many as 8,500 units are about to enter the market – the highest point of inventory growth in terms of sheer volume over the last 5 years – and there’s still room for growth. The area is slowly becoming a favorite relocation destination for people all across the country, both young workers looking for a healthy work environment and retirees in search of quieter grounds.”