The latest news & expert opinion: On the build-to-rent trend
Interested in learning more about the growing build-to-rent trend? Here are some news and opinion articles from across the web all in one spot.
Build-To-Rent Primed For Explosive Growth In 2022 by Bruce W. McNeilage
Highlights:
- Investments in build-to-rent are fueled by large institutional investors and publicly traded REITs
- Millennials are the largest age group in the country and they want single-family homes in nice communities — but many can’t afford to buy
- Demand for rentals is high, and rentals are profitable for investors
The Build-for-Rent Surge: A Q+A with Pretium Partners by Aly J. Yale
Highlights:
- 6,700+ build-for-rent homes were completed in 2021 — a record-breaking year for the sector
- Early in 2022, Pretium embarked on a $600 million joint venture to build 2,000-plus rental homes in three states
- Home moving between states has increased by over a third as a result of the pandemic
- Various demographics see single-family rentals as viable choice
IBS 2022: Rethinking How Cities Will Function After the Pandemic by Vincent Salandro
Highlights:
- During the pandemic, there’s been an increase in single-family rental homes and build-to-rent as a business model
- Build-to-rent space will continue to grow, possibly replacing the starter home for some people
- Large companies are now creating entire build-to-rent neighborhoods in places that have seen a huge increase in population and a shortage of housing
Built-to-Rent Homes Expected to Hit All-Time High in 2022, Fueled by Need for Space and Privacy by Alexandra Ciuntu
Highlights:
- About 78% of renters expressed interest in living in a community of single-family homes
- An estimated 14,000 build-to-rent homes are currently under construction in the US
- Renters’ main reasons for choosing a single-family home over an apartment are more space (29%) and more privacy (25%)
- In 2021, the occupancy rate for single-family rentals was 97% (and 95% for apartments)
Developers Of Build-To-Rent Single-Family Pushing Back On Opposition by Jarred Schenke
Highlights:
- NIMBYism is a major threat to build-to-rent developments
- In Metro Atlanta, single-family renters are paying $2,100 to $2,300 a month in rent, which is more than the mortgage payment on that home
- Demand for single-family rental homes is driven by people with little interest in owning a home
- Build-to-rent neighborhoods have better upkeep than owner-occupied homes
Single-Family/Build-to-Rent: Changing Renter Demographics Fuel Growth by Sarah Daniels
Highlights:
- In 2021, dozens of build-to-rent single-family home projects sold, totaling more than $1.5 billion
- Renters are generally older and better off than in the past
- The southern US is where new build-to-rent units are concentrated
- Investment in single-family build-to-rent communities more than doubled in dollar value from 2019 to 2020, and nearly doubled again in 2021
House-Flipping Tech Powers a Boom in Single-Family Rentals by Patrick Sisson
Highlights:
- More than a third of US rentals are single-family homes
- It can be difficult and time-consuming for owners to buy and operate a large number of homes
- New tech is helping to streamline the process of acquiring, upgrading, renting out a collection of single-family rentals
- In February, single-family rents hit a median of $2,160 across the US
Wall Street’s $85 Billion Housing Bet Intensifies U.S. Land Boom by Prashant Gopal and Patrick Clark
Highlights:
- Build-to-rent landlords compete with builders who sell homes for labor, materials, and land
- A possible result is that new home prices become more out of reach for would-be buyers
- $85 billion has been committed for build-for-rent projects, enough to develop 315,000 houses
- About 6% of finished lots purchased in the fourth quarter were for build-to-rent projects
More info:
Event: The Future of Build for Rent March 28-29, 2022, Dallas, TX
