Let's talk about 2022. Apartment demand has soared the past year and is still flourishing. But RealPage chief economist Greg Willett points to several factors that could cool apartment performance next year.
RealPage analysts are anticipating that near-term demand for US apartments will remain well above the historical norm. However, it seems likely that the product absorption volume will ease to some degree from 2021's high level. Several factors point in that direction.
First, most economists expect that many of the country's near-term job additions will occur in industries where wages tend to be low or moderate. That growth pattern runs counter to what was seen over the past year or so, as recovery from Spring 2020's mass layoffs registered more quickly in high-paying industry segments like professional services and the tech sector.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
