Multifamily Investment Sales Broker at Marcus & Millichap
P: 630.570.2246
Randolph Taylor
Latest posts by Randolph Taylor (see all)

Third Quarter Numbers Helping to Extend ‘Golden Age of Multifamily

Renter demand for apartments continued to accelerate in the third quarter of 2017 as the market absorbed more than 70,000 units and the overall national vacancy rate for U.S. apartments continued to trend lower after turning sharply up at the end of last year.

“The third quarter (vacancy) numbers are a welcome sign (for owners) after the sharp increase at the end of last year. Overall, it was a strong third quarter, which was a nice surprise,” said Michael Cohen, CoStar director of advisory services, during this week’s State of the Multifamily Market Q3 2017 Review and Outlook. “We’re still in the golden age for multifamily, but we’re seeing signs of a gradual slowdown in the apartment market.”

Continue reading “US Apartment Demand Bounces Back from Slow Down in Early 2017”

Multifamily Investment Sales Broker at Marcus & Millichap
P: 630.570.2246
Randolph Taylor
Latest posts by Randolph Taylor (see all)

Real News by RealNex

Author: Jeffrey D. Fisher Ph.D.

Sam Zell (pictured above) recently stated: “The real estate cycle is nearing its end” (Pensions & Investments, May 1, 2017).  We must admit that Sam had great timing when he sold his Equity Office REIT to Blackstone in 2007 which was the peak of the last cycle.

Of course, Sam is also not afraid of real estate recessions.  He earned the title “The Grave Dancer” back in the early 90s when he bought properties at steep discounts from their replacement cost during the bottom of that cycle.

So, what are the facts?  Yes, returns have been falling for about 8 consecutive quarters according to the NCREIF Property Index, which includes over a half trillion dollars of real estate around the country managed by the large institutional investors.  The first quarter 2017 total return was 1.55 percent, down from 1.73 percent in the fourth quarter 2016 and 2.21 percent a year ago.

Continue reading “End of the Current Real Estate Cycle?”