Comments on: Multi-Family Sector to Improve, Still in For a Rough Ride in 2010 http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/ News, insights, tools, and inspiration for business owners and professionals Fri, 10 Feb 2012 15:13:36 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: AgentGenius http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-87034 AgentGenius Fri, 13 Aug 2010 05:17:34 +0000 http://agentgenius.com/?p=21384#comment-87034 <span class="topsy_trackback_comment"><span class="topsy_twitter_username"><span class="topsy_trackback_content">#agnow The thought of owning rental property does not appeal to me at all. Now it is even more unappealing. I'm jus... http://bit.ly/53CmXO</span></span> #agnow The thought of owning rental property does not appeal to me at all. Now it is even more unappealing. I'm jus… http://bit.ly/53CmXO

]]> By: Antelope Valley Real Estate http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-66470 Antelope Valley Real Estate Fri, 13 Aug 2010 00:56:15 +0000 http://agentgenius.com/?p=21384#comment-66470 The thought of owning rental property does not appeal to me at all. Now it is even more unappealing. I'm just not cut out for it. Good article though. The thought of owning rental property does not appeal to me at all. Now it is even more unappealing. I’m just not cut out for it. Good article though.

]]> By: Multi-family real estate vacancies are up, rents are down http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-50666 Multi-family real estate vacancies are up, rents are down Thu, 08 Apr 2010 02:30:12 +0000 http://agentgenius.com/?p=21384#comment-50666 [...] December 2009, CBRE projected rents to remain low and vacancies high throughout 2010 with potential improvement to resume in [...] [...] December 2009, CBRE projected rents to remain low and vacancies high throughout 2010 with potential improvement to resume in [...]

]]> By: Residential Real Estate Sector Back on Track to Recovery? http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-43828 Residential Real Estate Sector Back on Track to Recovery? Thu, 17 Dec 2009 05:07:32 +0000 http://agentgenius.com/?p=21384#comment-43828 [...] going with pig in a tutu… Multi-family construction starts skyrocketed 67.3% but with vacancy rates and values being less than desireable, what’s 67% of desolation? Celebrating might be a little premature for this sector but at [...] [...] going with pig in a tutu… Multi-family construction starts skyrocketed 67.3% but with vacancy rates and values being less than desireable, what’s 67% of desolation? Celebrating might be a little premature for this sector but at [...]

]]> By: Artur | AZ Apartment Investor http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-43709 Artur | AZ Apartment Investor Tue, 15 Dec 2009 15:29:29 +0000 http://agentgenius.com/?p=21384#comment-43709 Lani, Tricky is an understatement. On the one hand there are all these people losing homes, but they usually move in to homes next door just purchased by investors, not apartments. Although we've seen some people scale down into apartments that's not a trend. Rental rates seem to have stabilized, but they are down double digits in true numbers from early last year. I don't see them going down more then current rates. On the other hand, savvy brave investors can get a spectacular return on some properties. Imagine a 14 unit property for $400,000 and a current market 11 cap rate or a four-plex for $130,000 with repairs with monthly income of $2,500 less 38% expenses. Lani,
Tricky is an understatement. On the one hand there are all these people losing homes, but they usually move in to homes next door just purchased by investors, not apartments. Although we’ve seen some people scale down into apartments that’s not a trend.
Rental rates seem to have stabilized, but they are down double digits in true numbers from early last year. I don’t see them going down more then current rates.
On the other hand, savvy brave investors can get a spectacular return on some properties. Imagine a 14 unit property for $400,000 and a current market 11 cap rate or a four-plex for $130,000 with repairs with monthly income of $2,500 less 38% expenses.

]]> By: Lani Rosales http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-43624 Lani Rosales Mon, 14 Dec 2009 17:52:29 +0000 http://agentgenius.com/?p=21384#comment-43624 Artur, Phoenix is a tricky market, isn't it?? Do you think that with it being so tough for people to qualify for mortgages that rentals will become increasingly mainstream living? Some project that will be so. You're lucky in that supply isn't being added, Austin (where we are) still have more multi-family coming online and our condo market which got approval and got started back in 2005 is just now coming live with units and we're in a tight spot. How are rental rates in Phoenix, are they going up, down or are they stable? Artur, Phoenix is a tricky market, isn’t it?? Do you think that with it being so tough for people to qualify for mortgages that rentals will become increasingly mainstream living? Some project that will be so.

You’re lucky in that supply isn’t being added, Austin (where we are) still have more multi-family coming online and our condo market which got approval and got started back in 2005 is just now coming live with units and we’re in a tight spot.

How are rental rates in Phoenix, are they going up, down or are they stable?

]]> By: Lani Rosales http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-43615 Lani Rosales Mon, 14 Dec 2009 16:54:52 +0000 http://agentgenius.com/?p=21384#comment-43615 Sidenote/two cents: That makes sense on a small scale and I say small because in Austin (home of the University of Texas, one of the largest colleges in the nation, along with 4 other colleges in the city) struggles despite DIVERSE mass employment- we're the capital, so government jobs have been seen as stable (although hiring and raises are frozen since last year), the universities have provided renters (although only on the bus routes and nearby), we are the silicon valley of the South (although layoffs and company closings have hit us in the gut), etc. So I feel you on the "we have stability" front, but Austin was deemed "recession proof" a few years ago and everyone scoffed as the world crumbled around us and we stayed strong... now, we don't take stability for granted. Sidenote/two cents:
That makes sense on a small scale and I say small because in Austin (home of the University of Texas, one of the largest colleges in the nation, along with 4 other colleges in the city) struggles despite DIVERSE mass employment- we’re the capital, so government jobs have been seen as stable (although hiring and raises are frozen since last year), the universities have provided renters (although only on the bus routes and nearby), we are the silicon valley of the South (although layoffs and company closings have hit us in the gut), etc. So I feel you on the “we have stability” front, but Austin was deemed “recession proof” a few years ago and everyone scoffed as the world crumbled around us and we stayed strong… now, we don’t take stability for granted.

]]> By: Artur | AZ Apartment Investor http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-43614 Artur | AZ Apartment Investor Mon, 14 Dec 2009 16:52:25 +0000 http://agentgenius.com/?p=21384#comment-43614 In Greater Phoenix apartment vacancies exceed the national numbers by quite a bit. Overall 14% vacancy while some segments are as high as 26% vacancy. For small multifamily properties the fight for tenants is tough. It's not only physical vacancy, but economic vacancy that's having a grave influence on the market. There are concessions and rents are down. This lower income has resulted in a deluge of small multifamily properties entering the market, mostly thrashed and vacant. The medium and larger complexes are right behind. I can't see any improvement until the unemployment rate decreases which will probably take longer here then the U.S average. 2010 still looks like a weak year and it won't be until 2012 that it may improve. The good thing is, that there not much supply being added to the stock, so once the stronger market returns it will be a very good one, at least that's what the crystal ball said. In Greater Phoenix apartment vacancies exceed the national numbers by quite a bit. Overall 14% vacancy while some segments are as high as 26% vacancy.
For small multifamily properties the fight for tenants is tough. It’s not only physical vacancy, but economic vacancy that’s having a grave influence on the market. There are concessions and rents are down.
This lower income has resulted in a deluge of small multifamily properties entering the market, mostly thrashed and vacant. The medium and larger complexes are right behind.
I can’t see any improvement until the unemployment rate decreases which will probably take longer here then the U.S average. 2010 still looks like a weak year and it won’t be until 2012 that it may improve. The good thing is, that there not much supply being added to the stock, so once the stronger market returns it will be a very good one, at least that’s what the crystal ball said.

]]> By: Duke Long http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-43613 Duke Long Mon, 14 Dec 2009 16:45:30 +0000 http://agentgenius.com/?p=21384#comment-43613 Lani, We do a lot of property management The market here is very stable.One main reason is the Big Ten university out our back door.You may think it is because of the students.I think it is because of the stable employment base that the university provides. Lani, We do a lot of property management The market here is very stable.One main reason is the Big Ten university out our back door.You may think it is because of the students.I think it is because of the stable employment base that the university provides.

]]> By: Real Estate Feeds http://agbeat.com/editorials/real-estate/multi-family-sector-to-improve-still-in-for-a-rough-ride-in-2010/#comment-61497 Real Estate Feeds Mon, 14 Dec 2009 10:37:49 +0000 http://agentgenius.com/?p=21384#comment-61497 <span class="topsy_trackback_comment"><span class="topsy_twitter_username"><span class="topsy_trackback_content">Multi-Family Sector to Improve, Still in For a Rough Ride in 2010: The outlook is slow but optimistic According to ... http://bit.ly/797ybR</span></span> Multi-Family Sector to Improve, Still in For a Rough Ride in 2010: The outlook is slow but optimistic
According to … http://bit.ly/797ybR

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