Cue sighs of relief from renters: Multifamily is going to have a big year in 2020. Experts forecast that builders will add 370,942 units over the year, a whopping 50 percent increase from 2019. These added units should bring relief to the mounting pressures on the rental market due to low inventory and spiking prices in many areas of the country. And in a time where affordable housing is tight in both the multifamily and single-family markets, any let up in the inventory shortage is a game changer. And as an added bonus for home builders: If a family can save on rent, they may be able to save that money for a home later down the road.
It may not always feel so easy to find an apartment that meets your needs at a price you can afford, but the situation could be improving in the Washington, D.C., region and across the country.
This year, more apartment buildings are anticipated to be completed in the United States than at any other time in the past three decades, according to “RealPage’s 4Q Apartment Market Performance Report.” RealPage provides software and data analytics for the real estate industry.
Nationwide, RealPage found that 370,942 new apartment units are scheduled to be completed in 2020, about a 50 percent increase over the 246,779 units completed in 2019. Demand for apartments continues to be strong, with 95.8 percent of all apartments occupied during the fourth quarter of 2019 and rents increasing by 2.8 percent compared with 2018.