The study employs three markers to evaluate the status of the apartment market: the Market Tightness Index, which assesses vacancy rates and rent increases, the Sales Volume Index, and the Equity Financing Index. The Market Tightness Index took a big leap, making it past the 50-point mark for the first time since 2000 at 54 points. Continuing its steady status over the 50-mark, the Sales Volume Index came in at 57, and the Equity Financing Index increased to 54.

"These are the most positive numbers we have seen since the onset of the 2001 recession," says Mark Obrinsky, NMHC vice president of research and chief economist. "If the economy continues to strengthen and employment finally starts to bounce back, then we can expect to see demand for apartment residences rise and vacancy rates fall."