Marcus & Millichap Releases 2024 National Multifamily Investment Forecast
February 01 2024 - 4:47PM
Business Wire
Marcus & Millichap (NYSE:MMI), a leading commercial real
estate brokerage firm specializing in investment sales, financing,
research and advisory services, announced today it has released its
2024 National Multifamily Investment Forecast. The report provides
numerous insights into major trends influencing the multifamily
sector in 2024, including individual analyses for 50 major markets
across the country.
“Supported by the resilient U.S. economy, which is
out-performing expectations, the multifamily sector is gathering
momentum as demand to rent apartments is increasing across the
country,” said John Sebree, senior vice president and national
director, Multi Housing Division, Marcus & Millichap and IPA.
“A record level of new supply, however, will keep short-term
pressure on fundamentals. The 2024 investment landscape will stand
out from last year in that the prospect of minimal interest rate
cuts, paired with a sizable amount of capital sitting on the
sidelines, is set to drive more trading activity in 2024.”
Highlights of the report include:
- The cost of a residential mortgage has become prohibitively
expensive for most households, due to both higher home prices and
the Federal Reserve’s tighter monetary policy. As of late last
year, only about a quarter of households could qualify for a
mortgage, which is half the 2019 level.
- The additional cost of a typical monthly mortgage payment on a
median-priced home compared to the average apartment rent has
ascended to its highest value in at least 20 years. The comparative
affordability of apartments is bolstering renter demand.
- The long-term need for more housing has continued to support
multifamily development, but upcoming completions are especially
pronounced. Developers are on track to deliver a record 480,000 new
units this year, and while this is likely the peak of the current
construction cycle, it will take time for these units to be
absorbed into the rental market, placing temporary pressure on
vacancy and rents.
Access Marcus & Millichap’s 2024 National Multifamily
Investment Forecast Report here.
About Marcus & Millichap, Inc. (NYSE: MMI)
Marcus & Millichap, Inc. is a leading brokerage firm
specializing in commercial real estate investment sales, financing,
research and advisory services with offices throughout the United
States and Canada. As of December 31, 2022, the company had 1,904
investment sales and financing professionals in 81 offices who
provide investment brokerage and financing services to sellers and
buyers of commercial real estate. The company also offers market
research, consulting and advisory services to clients. Marcus &
Millichap closed 12,272 transactions in 2022, with a sales volume
of approximately $86.3 billion. For additional information, please
visit www.MarcusMillichap.com.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240201390674/en/
Gina Relva, VP of Public Relations
Gina.Relva@marcusmillichap.com 510-999-1284
Marcus and Millichap (NYSE:MMI)
Historical Stock Chart
From Jun 2024 to Jul 2024
Marcus and Millichap (NYSE:MMI)
Historical Stock Chart
From Jul 2023 to Jul 2024