Industry Analysis & Industry Trends
In the wake of economic recovery, decreased vacancy rates and lower rent prices have facilitated growth in multifamily complex starts. In addition, declining homeownership rates, aggressive lending into the multifamily sector and gains in both employment and disposable income have all boosted demand for apartments and condominiums. Over the five years to 2018, this trend will likely continue: the demand for multifamily construction is expected to increase due to the continued migration of the US population toward metropolitan areas, where these complexes are more common... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The industry is in a mature stage of its life cycle. The industry's contribution to the overall economy, measured by the industry's value added (IVA), is expected to increase at an annualized rate of 1.9% in the 10 years to 2018. By comparison, US GDP is forecast to rise at an annualized 2.1% over this same period. Typically, an industry is considered mature or growing if IVA mirrors or outperforms GDP growth. However, the rise in IVA is largely a result of a spike in construction demand after the economic downturn.
Over the five years to 2018, the industry is forecast to grow strongly as the economy continues recovering from the recession and the demand for new multifamily complexes rises. As this happens, industry growth is forecast to outpace US economic growth... purchase to read more