COVID-19 has had a marked impact on the multifamily sector, from changing tenant preferences to an exodus from gateway markets.
To learn more about these impacts, Multifamily Executive magazine recently teamed up with real estate analytics firm Zonda’s chief economist Ali Wolf and multifamily specialist Kimberly Byrum to review five markets worth watching in 2021. They include:
- Austin. One of the most popular secondary markets, with a growing population, Austin still has strong multifamily fundamentals, even though rent growth has fallen due to COVID-19 and new supply.
- Boise. Traditionally a strong single-family market, Boise had the strongest YOY rent growth of the five markets analyzed.
- Charlotte. After taking an initial hit from the pandemic, Charlotte regained its momentum over the summer and fall, with rent growth rising to 2.2% YOY in November 2020.
- Denver. While its fundamentals have weakened due to the pandemic, the Denver market remains strong, with occupancy rates steady at 94.6%.
- Phoenix. Rent growth has moderated, but remains high YOY. Single-family rentals are especially popular here.