As the housing market grapples with high demand and affordability challenges, real estate developers are turning to “build-to-rent” neighborhoods. These communities offer full-size homes for rent, providing an alternative to traditional homeownership.

Key Trends:

• Growth: Build-to-rent single-family homes surged from 5% to 10% in 2023¹.
• Construction Boom: Over 27,000 new build-to-rent homes were built last year, with hotspots in Phoenix, Dallas, and Atlanta¹.
• Affordability: For those unable to buy, build-to-rent homes provide an attractive option.
• Mobility: Frequent movers find renting more practical than owning.
• Success Stories: Sarra Muqaddam-Grayer, now a property manager, chose a build-to-rent community in Minnesota for her family².

The Experience:

• Luxury Lifestyle: Amenities like pools, gyms, and dog parks enhance the rental experience.
• Demographics: A mix of empty nesters, millennials, and 40-somethings choose these communities.
• Stability: Lower turnover rates foster neighborly connections.
• Interest Rates: Developers await favorable rates for further expansion².

Build-to-rent communities offer a promising solution to America’s housing challenges, benefiting both renters and developers alike. 🏠🌟 #RealEstate #HousingCrisis ¹²

Sources:
(1) NYC rents stay elevated ahead of summer as lease signings soar. https://www.msn.com/en-us/money/realestate/nyc-rents-stay-elevated-ahead-of-summer-as-lease-signings-soar/ar-BB1obBCJ.
(2) Manhattan Apartment Rents Drop Even as Leasing Activity Picks Up. https://uk.finance.yahoo.com/news/manhattan-apartment-rents-drop-even-040100710.html.
(3) Rents keep rising even as apartment inventory nears record highs. https://www.crainsnewyork.com/real-estate/new-york-rents-keep-rising-may-apartment-inventory-nears-record-highs.
(4) NYC renters were ‘on the move’ in May as lease signings hit near-record …. https://www.brickunderground.com/rent/nyc-manhattan-brooklyn-queens-rental-market-report-may-2024.
(5) Manhattan Monthly Snapshot May 2024 | Colliers. https://www.colliers.com/en/research/new-york/2024_05_manhattan-monthly-snapshot.
(6) Manhattan apartment rents drop even as leasing activity picks up. https://www.hindustantimes.com/real-estate/manhattan-apartment-rents-drop-even-as-leasing-activity-picks-up-101718254745660.html.