The impact of remote work on the housing market has been significant. In a webinar by Yardi Matrix, Jeff Adler, Matrix vice president, brought up several notable shifts. The full recording and presentation slides are available online. Let’s explore the big-picture impact of remote work on housing and communities. There are myriad cultural changes from the pandemic from an economic standpoint, but one of the most significant transitions is the prevalence of remote work. Working remotely offers more opportunities for household formation. In addition, with remote working becoming more prevalent, some employees are no longer tied to living near the offices. This has increased interest, particularly in suburban areas like Charlotte and Phoenix, where households can enjoy more space, lower living costs and a quieter lifestyle than in urban centers. Additionally, some businesses have chosen to leave high-cost cities for lower-cost ones, such as San Francisco to Austin, New York to the Carolinas and Chicago to Nashville. “I think Huntsville is a great market for many businesses, but it’s just now beginning to have a lot of supply hit,” said Adler. “Any place where you got to have a supply response will run through some struggles for the next couple of years as it gets absorbed.” In addition, research found that remote work has led to a surge in household formation, counterbalancing population loss in dense cities. First-time homebuyers are becoming priced out of the market, which encourages renting, especially while mortgage rates are at the highest level in more than 13 years. Household formation could stall as renters move in with family or roommates to cut costs. Remote work has given homeowners and renters more flexibility in choosing where to live. This has resulted in shifts in migration patterns. People are moving from...

What do you call a group of diverse digital natives and entrepreneurial decision-makers with the ability to change the multifamily industry? This title belongs to Generation Z, the largest and most tech-savvy group of renters yet. Last summer, REACH by RentCafe conducted a survey to better understand Gen Z’s search habits, but members of this generation are now a year older. This means they’ve lived through 365 days of new experiences, changes and adventures. It also means that they have had a whole year to refine their online search behaviors. This summer, REACH wanted to investigate where this generation stands a year later when it comes to their online search habits and how best to win their attention. To do this, we interviewed over 12,000 members of Gen Z to gain insight into how to best attract members of the youngest, biggest and perhaps most important renter group yet. Here’s our Gen Z update: What are Gen Zers looking for? Findings from this year’s survey confirm that, once again, many Gen Zers don’t yet know what they’re searching for. This year, 41% admit that they’re still figuring it out when asked what they’re looking for in an apartment. This data tells us that the apartment search starts early for Gen Zers. At this stage, they’re probably using an ILS to shop for and compare apartments. On the other hand, 59% of Gen Zers know more about what they want, including apartment size, price, location and desired amenities; a full 26% of Gen Zers say they have all the information needed to make a purchasing decision. These renters are ready to take the next step, using long-tailed search terms to find the specific apartment that meets their needs. So how do you market to the...

Do you know if your proptech will maintain its appeal to future generations of prospects? If not, no worries. We’ve done the research for you. We’re exploring proptech with staying power, tools for today that will continue to deliver results well into the Gen Z lifecycle. Cut costs with lasting proptech Proptech is a major investment in money and hours. The technology you choose should evolve with users’ changing needs to ensure that you get the best impact per dollar. Not all new solutions will stand the tests of time. Are you confident that your proptech lineup is ready for Gen Z? Read on for the essential solutions that your organization needs. REACH brings you the freshest data on Gen Z Gen Z is comprised of about 67 million people, the oldest of whom turn 25 this year. We learned more about the largest renter demographic ever through the REACH by RentCafe Gen Z Renter Study. This survey of more than 10,000 next gen renters gives insights into their habits and interests. The results confirmed what we’ve observed: Gen Z is an intelligent, tech-savvy generation that values efficiency and creativity. They value proptech that feeds their need for contactless transactions as well as quick and easy access to information and services. Tech for targeted and engaged marketing One average, Gen Z search terms are 4.9 words long, longer than all previous generations. They know that using detailed queries will bring them closer to what they really want rather than wading through pages of irrelevant results. Appeal to their specific searches with longtail keywords and campaigns crafted by search engine marketing professionals. Expert search engine optimization (SEO) strategies will help your content rank well and be discovered by prospects. When supplemented with pay-per-click (PPC) advertising,...

Is your property ready for Gen Z renters? Gen Z has different housing expectations than any generation before them. A new study reveals their unique interests and goals. Renting to Gen Z requires appealing to their mindset. This may lead to a significant shift in how we view floor plans, services and amenities. Gen Z is already old enough to rent?! It’s true. The generation that feels like it was born 10 years ago is now entering adulthood. Members of Generation Z were born between 1996-2012 which means the earliest members are among your current prospects. This generation of 67 million people is one of the most racially and ethnically diverse to reside in the U.S. That suggests that there is a broad pool of features and amenities to keep in mind when renting to Gen Z — but there are a few unifying threads among the masses.    Gen Z: a generation of leaders In the “Meet Gen Z” infographic created by REACH by RentCafe, it cited data from Dan Schawbel which revealed that 81% of Gen Z aspire to be leaders. Specifically, 41% plan to be entrepreneurs. These data points suggest that many of your future residents will have big pursuits and their home must reflect their goals. To use this information to your advantage, think of services and amenities that cater to the entrepreneurial mindset. How might you enhance your business center? Might you transform a common space into an on-premises coworking center?Could you enter a mutually beneficial contract with a nearby coworking space?Might you build community through a local group for leaders and entrepreneurs?What events could show that you understand who they are? What local leaders or entrepreneurs might you invite to speak at events for your residents?How will your...

Single-family rentals (SFR) are currently thriving. Last year alone brought $8 billion in new investments, and activity through this year exceeds that pace. Activity is especially rapid around the metros of the southeast and interior U.S. The regions’ low taxes and high land availability attract developers while renters enjoy the low cost of living and a higher quality of life. But can the SFR market growth last as Americans return to the cities from which they fled? What caused the boom in single family rental popularity? The popularity of SFR is threefold. The industry has been steadily gaining momentum since the onset of the Great Recession. Empty nesters composed a significant demographic of early adapters. They aimed to downsize and decrease maintenance without losing the private space they’d grown to love. Millennial families with freelance jobs or with telecommuting options made up the second largest faction of renters in single-family homes. Fast forward about a decade and single-family rentals received another boost in demand. The pandemic served as a catalyst for the recent spike in interest as many Americans opted to leave congested cities for roomier suburbs. Small scale investors made up the bulk of property owners in 2018. By 2020, the landscape began to change. In addition to mom-and-pop operations, builders quickly gained interest in rental assets. Analysts estimated that the pandemic accelerated built-to-rent space by 5 to 7 years. About 10% of SFR are now built-to-rent properties and 12% of current single-family construction is designated for rentals. Trepp reports that 2020 was the most active year for SFR securitizations in U.S. history. New issuance topped $8.3 billion, about a 99% increase from 2019 and a 9% increase from 2018’s previous record-high. Into mid-2021, Trepp recorded $3.1 billion worth of newly securitized SFR...

Baby Boomers are setting their own pace and style for retirement. Unlike their predecessors, they’re shifting the traditional family dynamic and setting new trends in household formation and housing. They’ve got a lot more in common with younger generations than you (and even they) might expect. Grandma isn’t retiring like her mother Upon retirement, the Silent Generation continued the tradition of multigenerational living. They often sold their home, if applicable, and opted to age with the support of extended family or assisted living facilities. Baby Boomers are behaving differently, and the pandemic has made the contrast even more apparent, reports the New York Times. Boomers are savoring independence for as long as possible. They’re holding on to their real estate, and currently possess 44% of all real estate wealth. That’s more than the Silent Generation at this point in their lives. And with nearly one third of pandemic deaths occurring in nursing homes, demand for such care facilities has continued to drop. As their retirement approaches, Boomers are forecast to shed some that real estate wealth for a simpler lifestyle. But with nursing homes and traditional care facilities low down on their list of options, where will they go? What seniors want in a retirement location Internet listing service RentCafe reports that seniors who choose to rent rather than own has increased by 43% in recent years. In the past decade, net gain of new senior households has outpaced both Millennials and Gen Z. The trend of senior renters is slated for an upward trajectory. Where Boomers choose to rent also varies from their forebears. While Arizona and Florida haven’t lost their appeal, new determining factors are in place. Seniors report that they are most likely to consider the following three factors when choosing...

The tech-savvy members of Gen Z are no strangers to browsing and shopping online. As a generation with high expectations, ratings and reviews are a large part of their online buying process. But just having ratings and reviews isn’t enough to win their business. You have to be strategic if you want to stand out from the competition. REACH by RentCafe is digging into how Gen Zers use ratings and reviews. This information will help you figure out how to achieve glowing ratings from your young renters. Why are reviews important? Before jumping into how Gen Zers use ratings and reviews, it’s important to first understand just how essential this aspect of your business is. For one, reviews help potential customers gauge an item or service’s quality while simultaneously informing your business about what works and what could be done differently. Additionally, reviews improve your search rankings. Did you know that, without them, there’s no chance of showing up in the Google local pack? Lastly, and perhaps most importantly, reviews increase the likelihood of conversion, and isn’t that the goal of your digital marketing strategy? Ratings and reviews inspire customers to reach out to you, increasing the probability of them converting. RentCafe.com conducted a study of all the apartment search journeys that resulted in a lease and found that ratings and reviews were one of the top three features that lead to conversions. When you’re looking to draw in Gen Z renters, ratings and reviews are a critical part of the marketing process. How do Gen Zers use ratings and reviews? As part of a survey series with more than 10,000 Gen Z participants, 65% of Gen Zers say they consider ratings and reviews always or most of the time when searching online. This...

After first getting to know Gen Z, the team at REACH by RentCafe investigated how this tech-savvy generation searches online so that you can learn the best way to attract these young renters. Gen Zers have developed specific search and viewing habits For a generation that has grown up glued to computers, phones and tablets, Gen Zers have had years to cultivate their online search habits. In a series of 36 video interviews with members of Gen Z, REACH by RentCafe found that participants tended to start their search on Google, and often used long-tail search phrases, averaging 4.9 words per search. This is higher than the overall average of 4.2 words. Additionally, Gen Z tends to favor key words such as “Best,” “Cheap” and “How to” when searching online. Members of Gen Z also spend a lot of their time online watching videos, and they have specific preferences when it comes to which type of clips they like to watch. In a survey of over 10,000 Gen Zers published on rentcafe.com, 69% said they preferred a combination of user-created and professionally produced videos. This generation has come of age online, and as these renters enter adulthood, it’s clear that they are not only fully equipped to navigate the internet, but they’ve also developed a specific way of doing so. Gen Z attention span < goldfish attention span Did you know that with an estimated attention span of just 8 seconds Gen Zers are even less alert than their millennial counterparts (12 seconds) and, yes, goldfish (9 seconds)? In one video interview from the series, Gen Z member Keona spoke about how, when searching online for restaurants, thousands of results could be “overwhelming.” She continued, “I have a very short attention span, and I...

Step aside millennials, the largest generation ever is ready to rent. The oldest members of Gen Z will ring in their 25th birthdays this year, and this tech-savvy group is quickly becoming the fastest growing renter demographic. Coming of age in the era of smart phones and social media, Gen Zers are highly skilled and have even higher expectations compared to previous generations. By now, you probably know the basics about Gen Z, but as the up-and-coming generation of renters, it’s critical to dig deeper. To appeal to these “digital natives,” you must first understand their habits, values and lifestyles. Lucky for you, REACH by RentCafe is taking a closer look at Gen Z characteristics and will be sharing its research data with you in a series of infographics. But first, let’s understand who exactly these Gen Zers are. Gen Z’s top 3 characteristics Gen Z is made up of independent and entrepreneurial thinkersMost Gen Zers were raised by members of Gen X. As parents, Gen X tend to favor autonomy and entrepreneurialism, values they have passed on to their children. Members of Gen Z celebrate their independence and ability to express themselves, and they don’t have the perception that things will just go their way. They aspire to become leaders, and 41% plan to become entrepreneurs. More than others, this young generation seeks to create success instead of expecting it. Gen Z values diversity and societal changeWhile Gen Z is the largest generation yet — roughly amounting to 2.46 billion people in 2019 — it is also the most diverse. According to the Pew Research Center, in the US, 52% of Gen Zers are non-Hispanic white, 25% are Hispanic, 14% are Black, 6% are Asian and 5% are other.They’ve also experienced and embraced...

Jeff Adler, vice president of Yardi Matrix, was recently featured as a guest panelist on an NMHC virtual forum. The April 20 focused on apartment investment, trends and economic factors affecting the industry. Adler appeared alongside Jim Costello, senior vice president at Real Capital Analytics, and Suzanne Mulvee, senior vice president of research and strategy at GID. The conversation was moderated by Dave Borsos, vice president of capital markets at NMHC. Markets like Portland, Oregon have seen an influx of residents as rising single family home sales over the last year. All three industry experts were bullish on the state of the multifamily industry, which is already well on its way to recovery from the impact of the COVID-19 pandemic. “As it relates to multifamily, it is game on,” said Adler. “(Investors) are out there buying and rents are up. There are pockets of weakness in the urban gateway but if you look south and west, there are a lot of people bidding with a lot of cheap (capital). There are a lot of people moving out of office investments and into industrial and multifamily.” The economy and inflation risk With many Americans flush with cash, both from saving during the pandemic and stimulus funds from the federal government, spending is rampant and economic growth is expected to be around 6.5 percent for 2021, Mulvee noted. But with those conditions comes a concern about potential inflation. “We know we are going to see a period of six months or so of inflationary pressures,” Adler said. “But we hope that in six to nine months, there will be enough deflationary counter pressures that it won’t get out of hand. That in my mind is the bigger issue.” Costello, who writes extensively on market conditions, tempered...

At its core, the travel industry encourages new experiences and exploration. It invites guests to find comfort in unknown terrain and discover a sense of belonging amongst new people. Unfortunately, the travel industry has not historically operated in the same welcoming inclusivity that it promotes. “This world is a diverse one—so how could the very industry that promotes the exploration of that world not be?” inquires Tiana Attride, editor at Here Magazine. As the sole black editor, often the only black staff member and commonly the only person of color at press events, Attride is frustrated by the lack of inclusion practices within travel businesses and marketing. Sheila Johnson, co-founder of RLJ Companies, a Yardi client, founder and CEO of Salamander Hotels & Resorts, has experienced a similar discord between travel industry messaging and practices. In her 40 years as an entrepreneur and 15 years focusing on hospitality, she has seen small improvements in inclusion and equity practices. “But there’s also the rub,” Johnson reflects. “I recognize we still can and should do more.” Both women, like other minorities interviewed from the industry, see a clear path forward. A foundation for success The first step to create a more inclusive hospitality industry begins with acknowledgement. “An unfortunate number of people in this country – black and white – are far from coming to grips with institutional racism, the kind of racism that is also baked into the very fabric of so many American institutions,” says Johnson. “For this reason, many people still cannot even talk about racism, much less actually do something about it.” But hospitality providers are strongly positioned to tackle the issue head on. “Our industry is a living laboratory of cultures. Every day we make it possible for team members from...

During every Yardi Matrix webinar, vice president and presenter Jeff Adler shares the big picture of current economic conditions and conundrums – also known as the Yardi Matrix House View. Here’s how the view is looking from the Matrix vantage point these days: “We had a deep recession. We’re in the middle of a recovery. That recovery is likely to be choppy,” summarized Adler to close out Thursday’s Matrix update on the self storage sector. A recording of the presentation is now available, and you can view that here. But for those invested or interested in the self storage market, the seas are not looking quite so rough. Of all commercial real estate sectors, storage had a brief negative impact from COVID-19’s rise in the U.S., and then quickly recovered. “Storage is actually doing quite well,” said Chris Nebenzahl, editorial director for Yardi Matrix. “The demand for storage has been consistent and is stronger than some of the other asset classes in commercial real estate.” Key factors for the sector’s resiliency include: Relocations and population migration. Americans are leaving congested big cities like New York and Los Angeles for second-tier markets where they have more space. Residential volatility. For example, college students have faced ever-changing mandates about whether they would resume classes in person and online, prompting quick moves that often involve a need for storage. Economic hardship. Job losses for millions of Americans are contributing to relocations and downsizing. According to a Pew Research Center Survey, roughly one in five U.S. adults say they have either changed their residence due to the pandemic or know someone who did. The proof of sustained demand for storage is in the street rates, particularly for the non-climate-controlled category. Month-over-month rates reported for August showed that national...

For years, 24-hour and 18-hour cities, and the live-work-play concept, have been mantras in commercial real estate. Suddenly, however, cities are facing a pandemic-driven exodus. Is this a temporary blip or the start of a long-term trend? COVID-19’s impact has been particularly deep in major metropolitan areas such as New York City, Los Angeles, Chicago and San Francisco office space, which have also seen sharp drops in apartment occupancy rates and rents as the city centers are largely shut down and residents shelter elsewhere. In Manhattan, for example, office buildings that were closed for months remain mostly empty upon re-opening, as employers avoid putting workers at risk and people avoid public spaces. Midtown streets that are typically teeming with tourists are nearly empty as Broadway and other entertainment venues remain shut. New York City’s story is being played out in city centers across the country. Not only do urban areas temporarily lack the jobs and cultural institutions that drew people there, but the crowds and closeness are suddenly an element to be feared rather than fascinate. Few if any saw this coming, as growth has coalesced in cities in recent years. The United Nations has forecast that 75 percent of the global population would live in cities by 2050, doubling their size, and the U.S. seemed to be headed in that direction. A recent study of the largest 30 U.S. metros by the George Washington University School of Business and Smart Growth America in conjunction with Yardi Matrix found that walkable neighborhoods encompassing office, housing, retail and entertainment grew faster and produced higher absorption and rent growth over the last decade than counterparts without that combination. During that time, 70 percent of the jobs created were in the top 50 U.S. metros. Corporations have been...

Have you found it easier to move those three-bedroom units than before? For decades, larger units were tougher to rent. That narrative has changed in the recent years. New data projects the trend is likely to continue—and 3.6 million families may enter the rental market. Single-family rentals have experienced an ascent in popularity. The demand has encouraged the construction of 3.6 million units in the past decade. Yardi Matrix, an apartment intelligence provider, reports that 52 percent of the apartments built between 2006 and 2016 have at least two bedrooms. Of those, 41 percent are 2-bedroom units, 9 percent have three bedrooms and 2 percent have at least 4 bedrooms. Fewer families with young children can buy a home. As a result, families are making their mark on multifamily development by driving the demand for larger units and plenty of them. The Backstory The housing crisis was more than a decade ago, but the aftermath lingers. Greater restrictions on lending led to higher home prices and a grinding halt in new home construction. At the depth of the recession, home prices dropped–right along with job security–leaving fewer opportunities for families to confidently invest in a house. With fewer entry-level homes to meet their needs, young couples and families turned their eyes towards renting. Families with young children who own a home dropped by 3.6 million from 2006-2016 (the most recent U.S. Census). As the economy recovered, home prices surged disproportionately to salaries and rent rates. National real estate brokerage Redfin suggests that the median price of a single-family home increased by 35 percent in the past 5 years. That’s 75 percent faster than rent increases which rose by only 20 percent, reports Yardi Matrix. For context, when adjusted for inflation, workers’ wages only grew...

U.S. migration from domestic and international sources continues to hold profound implications for the country’s economy and demographic composition. It’s also the subject of a new research report from Yardi Matrix. The report notes that the South, Southwest and West accounted for 80% of the population growth in the country’s top 50 metros between 1970 and 2018. “Migration is a leading factor in the population shift” and is “being driven by a combination of economic, social and technological factors” including lower costs of living and doing business, tax policies, land availability, climate, and cultural and recreation attractions. “Technology makes both individuals and corporations more mobile than before, and as the economy grows, more service-oriented businesses are less tied to physical locations,” says the report, which was published in PREA Quarterly, a members-only publication for the real estate investment community. Older core metros that lost populations to domestic outmigration are still holding their own. For example, New York City, Miami, Los Angeles, Washington, D.C., and Boston are top destinations for international migrants who fill jobs and fuel economic growth. “Immigration has been the ace in the hole for primary commercial real estate markets” by compensating for domestic outmigration and declining birth rates among native-born women, the report says. Business, finance and technology opportunities in the cities referenced above, and others such as San Francisco, also are magnets for young, educated workers. New Work and Lifestyle Options Along with the policies, social forces and economic trends shaping migration patterns, the report addresses factors affecting the real estate industry such as housing affordability, homeownership and family formation. “Investors must pay attention to developments in lifestyle and technology,” such as exercise rooms, shared space, better food options and other amenities that workers increasingly expect. On the residential side,...

Food continues to be a hot topic in senior living. Television personalities like Anthony Bourdain and Andrew Zimmern ignited the modern “foodie” culture. Their meals dripped with excitement and worldliness. Under such influences, aging Boomers have high expectations for their dining options. Senior living experts will have to keep up with costs and trends to appease them. Rising Costs Food costs are at an historic high. Prices have risen an average 2.6 percent each year over the last 20 years. Long term, prices will continue to rise. A survey  by senior living association Argentum reveals that 51 percent of industry decision-makers agree that their average food costs increased in the past year. Organizations are seeking alternative methods improve cost efficiencies. Local Sourcing: Cost-Saving, Community Friendly Local food sources provided one way for 29 percent of organizations to cut costs. By decreasing storage and transportation expenses, locally-sourced foods can cost less. More than 75 percent of respondents currently offer locally-sourced produce. Nearly 55 percent offer locally sourced animal proteins. Local sourcing also appeals to the current trend in foodie culture that cherishes farm-to-table preparation. This more sustainable option promotes in-season, small batch fare. The quality of such local foods is more easily controlled and verified. Additionally, local sourcing reflects a growing concern for local economies. Nearly 25 percent of respondents that serve local produce do so to support other neighboring businesses. For 15 percent of senior living communities, locally-sourced goods are a point of differentiation against competitors. Stop Food Waste to Slash Costs Worldwide, over one-third of food  is wasted. Americans alone toss up to 40 percent of their food purchases into the trash. Decreasing food waste ensures that food fills bellies instead of trash cans. Nearly 40 percent of respondents are using food waste tracking to...

In many cities, senior housing growth has plateaued. Over saturated markets have led to stagnant occupancy rates. According to the National Investment Center for Seniors Housing and Care, 2017 ended with the national occupancy rate at 88.8 percent, down 70 basis points year-over-year. The greatest stagnation takes place in markets with low barriers to entry, such as Atlanta, Dallas and Denver, reports CBRE. Yet there are markets that are still ripe for investment. They come with their own challenges but they stand a greater chance of success. Below are MoneyRate.com’s five best bets for senior housing investment.   California San Diego and San Jose offer plenty of opportunities for construction and development—once you get past the high barriers to entry, like high land costs and low availability. It can take years for a project to break ground but once it does your class A property can thrive.   Arizona This dry desert state has done a marvelous job of absorbing new supply. Occupancy rates remain high, leading analysts to believe that there is more room for growth.   Florida The sunshine state remains popular with seniors. More seniors live in Florida than anywhere else in the United States. Their life expectancy is third-highest in the nation, meaning there are plenty of golden years in need of beautiful abodes.   Maine The northern gem ranks among the top five states for retirement. It ranks just after Florida in terms of its senior population. The state offers low crime rates and relatively low to moderate land prices, which can help keep housing prices affordable for seniors. Washington Seattle is the wildcard of the list. National Real Estate Investor lists the city due to its increase in construction and the presence of major tech giants—assuming retirees want...

The new report, As Rents Rise, More Renters Turn to Doubling Up, explores the growing rate of co-living arrangements. Finances were the primary reason for multiple generations and teams of adults sharing a single home. You could benefit from this trend, even if you never considered marketing your units as a co-living floor plans. Co-living Styles and Motives Co-living isn’t a recession-era trend. It has been on the rise well since the economy began to recover. The rate of co-living has increased from 39 percent to a whopping 54 percent for people ages 23 to 29. In multigenerational living, young adults team up with their parents or in-laws to form a single, cost-effective household. On top of saving on rent, co-living allows families to save on utilities, entertainment, and childcare costs. In addition to families teaming-up under one roof, the research reveals that non-familial teams formed with the same motive. To improve rental affordability, many adults double-up in housing. Without surprise, the co-living trend is most prevalent in the nation’s metros with the highest rents, particularly Los Angeles with a co-living rate of 46 percent and Miami at 41 percent. So what is the income threshold for co-living? Renters with an annual income near $30,000 or less shared homes more often than their peers with higher incomes. While that income amount varies by metro, renters that choose to share abodes tend to make about 30 percent less than renters who choose to live alone. Making Co-Living Work for You How might you benefit from the rising rate of co-renters? If you don’t permit subletting, it may be worth considering. Creating contracts for residents to use can help you remain in control while benefiting from a lower vacancy rate. Realistically, you probably have several renters subletting a...

Americans are not moving and no one can pinpoint why. Without a clear cause, the trend is difficult to reverse, as are its effects on the economy and workplace productivity. United States Census Bureau data reveals that only 21.7 percent of renters relocated in 2017. That’s a new historic low. Homeowners moved at a rate of 5.5 percent, a smidgen higher than last year but not enough for analysts to breathe a sigh of relief. Reports from the last three decades depict a decline in relocation for renters and owners. As to be expected, sharp drops occur during economic recessions, yet moving rates have not recuperated since The Great Recession. An article in the New York Times dives into a few reasons why Americans are staying put, caused by—or a result of—an unfavorable employment environment. Every age group, every educational level, and every industry has experienced severe declines in job turnover and employee mobility reports the Federal Reserve Board. In 2017, The US Census Bureau documented that only 9 percent of families relocated due to a new job or job transfer. That’s a sharp decline from 19.4 percent cited in 2013. While analyst Betsey Stevenson of the University of Michigan proposed that people aren’t moving or changing jobs because “they’ve all found jobs that are great for them and they’re happy,” it’s more likely, she admits, that “people stay in jobs that aren’t as good for them because they’re terrified of changing, and that’s bad for the overall economy.” Workers are staying with the same employers and climbing the ladder more slowly than before. Worker fluidity decreased from 10 percent to 15 percent between 1980 and 2013. Those figures are conservative. Some studies place the modern percentage closer to 25 percent. States such as...

Expected to command a significant portion of America’s aging population over the next several decades, the nation’s aging Hispanic population will usher in a new era of cultural needs and expectations. That’s according to a new study commissioned by the Associated Press-NORC Center for Public Affairs Research. After surveying older Hispanics on their attitudes and expectations regarding assisted living and senior housing, researchers concluded Hispanics might “face additional obstacles in getting culturally competent care.” “…49 percent of older Hispanics have already faced language or cultural barriers as they navigate the health care system,” state the report’s authors. “These barriers have resulted in additional stress, delays in getting care, increased time and effort, not getting needed care and higher than expected costs for care.” Respect and Value Expressing feelings of frustration, loneliness and confusion, the survey’s participants expressed concern over the ability of their local health care providers to meet their specific needs. Specifically, respondents reported difficulty communicating with doctors and nurses due to language and cultural barriers. For those experiencing difficulty overcoming these challenges, two-thirds said they experienced additional stress and delays related to receiving adequate medical care. Unfortunately, less than half of the Hispanics surveyed expressed confidence in their local health care facilities and nursing homes’ ability to meet the needs of senior residents. Even fewer respondents felt home health aides and assisted living communities are up to the challenge, with only 20 percent of participants conveying they felt assured of the capabilities of their local home senior health providers. Complex Communications With almost 3 out of 4 Hispanics speaking Spanish in the home, the language barrier remains the foremost barrier to adequate senior care. According to the survey, a little more than a third of respondents reported speaking English “less than ‘very...

We’d need 4.6 million new apartments by 2030 to meet demand for rental living and keep prices in check, reports the National Multifamily Housing Council. That’s about 373K new units each year on average, a number that’s rather optimistic considering the pace of apartment construction in the last decade. So how feasible is this plan? A recent study from RentCafe on the apartment market suggests the country’s growing renter population need not be too concerned. According to data from real estate data provider Yardi Matrix, apartment construction is at a 20-year high, with most of our country’s biggest cities seeing significant upgrades in rental stock. After a slow post-recession period, the market started rebounding in 2012 and by 2014 new supply had amounted to more than 237,000 units delivered in one year, well above historical averages. Between 1997 and 2006, annual completions averaged 212,740 units. In 2017, apartment completions are expected to top 345,000, a 21% increase compared to last year’s deliveries when more than 285,000 units saw the light of day. Hot Urban Markets See Rents Softening as Developers Ramp Up Apartment Construction After peaking in 2014 at 5.1%, monthly rent prices rose just 1.5% to $1,316 in May, the lowest annual growth rate we’ve seen in more than three years. In 2017, the average U.S. rent is expected to increase a modest 3.9%. Does this mean apartment prices are finally taking a break from rent growth? Apparently so, and thanks to intensified apartment construction, that’s even the case with some of the country’s historically tight (or rather outrageously expensive) markets. Close to 6,200 new units entered the San Francisco metro area in 2016, with approx. 5,400 apartments expected to be delivered this year and another 9,500 under construction. While demand is still strong...

By 2025, 75 percent of the workforce will be comprised of workers from the Millennial generation. A Thursday webinar hosted by Realcomm: “Technology in the Workplace – Managing the Needs of Multiple Generations” focused on managing that transition successfully and effectively for team members of every generation. Realcomm CEO Jim Young was the moderator. Panelists included: Esther Bonardi, VP of Marketing, Yardi Porschia Parker, Founder, Millennial Performance Institute Shalaya Shipman, Sr. Manager, Operations, SalesForce Kevin Able, President, REALTY|Share Elizabeth Dukes, CMO and Co-Founder, iOffice John Spindler, VP Marketing and Product Management, Zinwave The panelists covered a variety of topics relevant to the escalating generational workforce shift, among them work ideology, preferred methods of recognition, communication platforms and technological expectations. Esther Bonardi, vice president, marketing for Yardi, focused her comments on differentiating the workplace personalities of the Millennials and the Baby Boomers and facilitating constructive communication between the two groups. “I would say to the older generation – reach out and let the younger generation teach you something. Let them know you are willing to learn from them and see what they have to bring to the table. This process starts with the older generation opening up and saying: you mentor me and I’ll mentor you. Let’s teach each other,” Bonardi said. The best way to start such a conversation? Find a neutral subject of interest to both groups, like giving back to the community as a company. “If you’re looking for a place to have these groups where people can exchange information, you might consider corporate social responsibility,” Bonardi suggested. Coming together for the greater good is always a unifying experience that can create professional bonds. Yardi’s workforce in North America is made up of nearly 50 percent Millennial employees, she shared. That has...

Two updates issued by the U.S. Department of Housing and Urban Development bring bad news to homeowners. Denied Mortgage Insurance Rate Cut Costs Homeowners $500/year The new administration indefinitely suspended a proposed rate cut for FHA-backed mortgage insurance. Instead of dropping rates to .60 percent, they will remain at .85 percent. The decision—made within the hour that the new administration assumed office– will cost homeowners a savings averaging $500 a year. Savings would vary by state. In California, the savings would have averaged $860 per year. LA Times reports that the administration denied the proposed cut, citing risk prevention as the cause. Borrowers can have down payments of as little as 3.5 percent and credit scores as low as 580. The average credit score for borrowers, however, was a fair 679 in late 2016. Non-bank lenders often manage higher risk FHA-backed loans. These lenders may not have the same reserve requirements as banks. The California Association of Realtors president Geoff McIntosh issued the following statement on the decision: “FHA’s single-family home portfolio is financially sound as it has ever been, and we hope that once the new administration has thoroughly reviewed the merits of the premium reduction the suspension will immediately be lifted.” Secretary of Housing and Urban Development  Ben Carson says he intends to reexamine the decision. He plans to collaborate with FHA administrator and other financial experts to “really examine that policy.” American Indian Households Face Increasing Challenges Affordable Housing Finance shared the latest developments in an independent American Indian Housing Report initiated by HUD.  While tribes have responsibly used existing resources for improvements, dire housing conditions and a lack of resources continue to hinder progress. Researchers with the Urban Institute in Washington, D.C. examined the housing needs of American Indians, Alaska...

Did you know that Baby Boomers are the second largest demographic in multifamily housing? Most companies only spend five percent of their advertising budget (and even less effort) on this growing group. Don’t be like them. We’ve got eight tips to master online marketing to Baby Boomers. State your cost—clearly—and why your property is worth it. This fundamental tip is especially relevant to Boomers. They have a lot of money to invest in companies that meet their needs. According to this Nielsen report, Boomers currently control about 70 percent of all disposable income in the US. In the next 20 years, they are set to inherit $13 trillion more. If your property meets their needs, they won’t need sales tricks to buy in. Ensure that your marketing story explains how your property can meet and exceed their expectations. They will be willing to pay top dollar. Highlight the conveniences of renting. Many Boomers opt to rent so that they can explore other interests without the burdens of homeownership. The amenities that set your rentals apart from homeownership are valuable selling features. As former homeowners, many Boomers know that property maintenance is hard work. Boomers will appreciate the assurance of prompt maintenance services. Highlight residents’ access to Online Maintenance Requests through Yardi RentCafe®. The tool will appeal to their desire for convenience. Tell the story of the active, hip Boomer. Boomers don’t want to be reminded that they’re aging. This generation focuses on an active lifestyle and exploring new interests. Feature local hiking trails, parks, and your community fitness classes on your website and social media. Let them envision living the lifestyle that they crave while in your community. Note that Boomers not done living it up. While some are caregivers and part-time babysitters for...