The real estate sector has changed massively over the past decade. The change has been extremely profound since the fall of the housing market in 2008. The great crash has brought many changes to the housing market, and since the onset of the pandemic, the real estate market has taken a completely new turn. Multifamily housing has gained massive traction in recent years. This is typically due to the housing shortage and inflated housing prices.
While single-family homes remain the creme-de-la-creme opportunity for investors, it’s too much work and commitment. On the contrary multifamily houses are gaining popularity since they are easily accessible, come with relatively low rent and maintenance, and offer adequate privacy and security. Considering the popularity of these housing facilities, let us take a closer look at some rising trends in the multifamily market.
6 Latest Trends in the Multifamily Housing Market
Outperforming the demand for single-family homes
Since Millennials dominate the housing market, just as in every other market, the demand for multifamily houses has skyrocketed in recent years. A recent “Home Safe Home: How Millennial Preferences Are Redefining Multifamily Living” indicated that almost three-quarters of Millennials have long-term plans to live in an apartment building. This is because millennials value the flexibility of renting instead of buying. Another critical aspect of this equation is that Millennials are being priced out of the single-family market. Single-family homeownership is unattainable for the Millenials, one of the reasons for them to shift to multifamily properties.
Integration of Technology
Technology integration is now considered an expectation rather than a perk. PropTech, a new jargon in the real estate market, is gradually becoming mainstream. App-based amenities, IP video intercoms, smart parking, and home automation are just a few technological integrations renters or buyers seek in multifamily properties. As such, different property management software is also becoming popular where renters can submit applications for preventive maintenance, pay rent, and book a tour of a property.
As mentioned earlier, virtual tours have become a thing in the housing market. With the rise of mobile apps and advanced software, virtual and self-guided tours have made apartment showings hassle-free. More so, the pandemic has fuelled the adoption of these newer technologies where property managers can book more tours and engage with more prospects. As a result, renting and leasing the property has become a cakewalk.
Community Over Everything
This may surprise many, but more and more people want their multifamily properties to have a sense of community. With most apartments having a culture of eat-sleep-repeat, new-age renters wish their apartments to be more inclusive and tightly knit. As a result, many real estate organizations are integrating essential amenities like open spaces, jogging tracks and recreational activities in their new multifamily properties to encourage communal participation.
Diversity & Inclusion
Corollary to the previous point, diversity and inclusion have become major aspects of multifamily properties. One of the key observations in the multifamily housing market is that senior citizens are more likely to live in a multifamily home than in retirement communities. That means these housing units need to be mindful of how they function.
High Preference for Small Cities & Suburbs
Cities are saturated, and people want to live in quieter places. As a result, they are gradually moving to suburbs and smaller towns where areas are less densely populated. Suburbs are likely to become cultural hubs and attract multifamily renters. Suburban communities provide desirable places to live and easy access to cities for economic opportunities.
It is said that “the change is constant”, and it is the same for the multifamily market. With changing dynamics in almost every other industry, the multifamily housing market will likely adopt new trends and do away with the old ones. Homz Global is the first national housing company in the US, building an affordable, wellness-centric community nationwide.
With a key emphasis on providing affordable housing solutions, Homz communities are determined to provide a standardized experience to their consumers. They are building these beautifully-designed communities across strategic locations, providing easy access to key amenities.