Currently Reading

NAHB Predicts Multifamily Housing to Bounce Back in 2022

Advertisement
Multifamily

NAHB Predicts Multifamily Housing to Bounce Back in 2022


February 15, 2021
Multifamily housing
Photo: Sundry Photography

The multifamily housing sector experienced regulatory and supply-side challenges, slow rent growth, and increased vacancy, positioning it for a weakened 2021. But the National Association of Home Builders says the market will stabilize in 2022. A recent NAHB analysis found 34% of multifamily construction in 2020 happened in lower density and lower cost markets. Multifamily construction starts are expected to fall further in 2021 by 11%. Still holding up better than nonresidential construction, multifamily may not see any growth until 2022, when NAHB forecasts a 5% increase in total units built.

Turning to the forecast, multifamily starts are expected to fall 11% this year to 349,000 units from a projected total of 392,000 in 2020. The downturn will be short-lived, as multifamily production is expected to post modest gains in 2022, up 5% to 365,000 units.

After four years of a steady, upward trajectory, rent growth flattened in 2020. “Due in part to pandemic-related issues, rent growth in December 2020 was up just 0.4% from a year ago,” said Danushka Nanayakkara-Skillington, NAHB’s Assistant Vice President of Forecasting and Analysis.

Read More
 

Related Stories

Coronavirus Resources and Information

CDC Eviction Moratorium Unconstitutional, Says Federal Judge

A lawsuit filed in October by a group of Texas landlords resulted in a federal district judge ruling  the COVID-19 eviction moratorium as…

Design

Is Density Dead? Creative Solutions for Dense Housing

Is density dead?

Adding more units per acre seemed to be gaining more momentum for addressing the housing shortage as more cities and…

Built for Rent

Build-to-Rent Poised for Success in 2021

The relatively new sector of build-to-rent housing is well-positioned for great success this year due to renter and homeowners’ changing needs…

Advertisement
Advertisement

More in Category




Advertisement
Advertisement

Create an account

By creating an account, you agree to Pro Builder's terms of service and privacy policy.


Daily Feed Newsletter

Get Pro Builder in your inbox

Each day, Pro Builder's editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Save the stories you care about

Lorem ipsum dolor sit amet lorem ipsum dolor sit amet lorem ipsum dolor sit amet.

The bookmark icon allows you to save any story to your account to read it later
Tap it once to save, and tap it again to unsave

It looks like you’re using an ad-blocker!

Pro Builder is an advertisting supported site and we noticed you have ad-blocking enabled in your browser. There are two ways you can keep reading:

Disable your ad-blocker
Disable now
Subscribe to Pro Builder
Subscribe
Already a member? Sign in
Become a Member

Subscribe to Pro Builder for unlimited access

Lorem ipsum dolor sit amet, consectetur adipisicing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua.