flexiblefullpage - default
Currently Reading

Single-Family Built-for-Rent Market Records Fastest Growth in 2021

Build to Rent

Single-Family Built-for-Rent Market Records Fastest Growth in 2021

As affordable housing continues to disappear at a record pace, the single-family built-for-rent (SFBFR) market offers a viable solution


February 18, 2022
single famiy rental homes
Image: Stock.adobe.com

The total number of single-family built-for-rent (SFBFR) construction starts rose by nearly 16% in 2021 after significant development during the third quarter of the year. In the midst of a nationwide housing shortage and an affordability crisis, the SFBFR market offers a cost-effective alternative to a pricey for-sale market. Throughout 2021, 51,000 single-family built-for-rent homes began construction, according to NAHB’s Eye on Housing, a 15.9% increase compared to 44,000 SFBFR starts in 2020. In just the fourth quarter of 2021, SFBFR starts reached 15,000, suggesting continued gains throughout the start of 2022. 

According to NAHB’s analysis of data from the Census Bureau’s Quarterly Starts and Completions by Purpose and Design, there were approximately 15,000 single-family built-for-rent starts during the fourth quarter of 2021. Over the course of 2021, 51,000 such homes began construction, which is a 15.9% gain compared to the 44,000 estimated SFBFR starts in 2020.

Given the relatively small size of this market segment, the quarter-to-quarter movements typically are not statistically significant. The current four-quarter moving average of market share (4.5%) remains higher than the historical average of 2.7% (1992-2012) but is down from the 5.8% reading registered at the start of 2013.

Read more

Related Stories

Community Development

Microunit Communities Offer Starting Point for Gen-Z Renters

The rise of microunit communities gives Generation-Z renters a chance to find affordable housing in high-cost metro markets

Build to Rent

Is the Built-For-Rent Sector Prepared to Weather a Possible Recession?

BFR investors are fretting over a few worrisome trends as the market is pushed to the brink of a recession

Market Data + Trends

After Years of Record-Breaking Gains, the Rental Market May Finally Be Cooling, Experts Say

June rental prices set a record for the 16th consecutive month, but an era of nonstop rent hikes could be coming to an end 

Advertisement
boombox1 -
Advertisement
native1 - default

More in Category




Advertisement
native2 - default
Advertisement
halfpage1 -

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.