Renters will continue to favor single-family build-to-rent homes despite the current economic headwinds as millennials continue to age into such housing and the labor market supports household formation.
That's according to a recent report from Northmarq, which found that more single-family build-to-rent communities have traded in the first nine months of 2022 than in any full year from 2017-2020, while deliveries of BTR product are expected to increase by 20 percent this year. Construction starts are expected to spike by 25%.
"Elevated mortgage rates will likely support renter demand in the coming quarters," the report predicts. "Current single-family renters, who may have otherwise transitioned into homeownership in a low- or stable- interest rate environment, will likely remain in the renter pool in the current climate."
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