NMHC Survey Shows Continued Weaking in Multifamily Market Conditions
Apartment market conditions continued to weaken in the National Multifamily Housing Council’s (NMHC) Quarterly Survey of Apartment Market Conditions for April, as the Market Tightness (31), Sales Volume (26), Equity Financing (23) and Debt Financing (29) indexes all came in well below the breakeven level (50).
The latest results all represented continuing quarterly declines in the indexes, with Market Tightness marking its third consecutive drop, Sales Volume its fourth, Equity Financing its fifth and Debt Financing its seventh.
“Apartment operators reported an uptick in vacancies and concessions this quarter,” said NMHC’s VP of research Caitlin Sugrue Walter. “And while some of this softness can be attributed to seasonality, investors remain concerned about the coming wave of supply in some markets and the prospect of slower economic growth in 2023.”
Just 11% of respondents think the Federal Reserve can achieve a soft landing, Walter said, adding, “The transaction market, meanwhile, remains at a virtual standstill.”