Apartment Market Showing Weakness
According to the National Multifamily Housing Council’s (NMHC) Quarterly Survey of Apartment Market Conditions for April 2020, apartment market conditions weakened as the industry confronts the ongoing COVID-19 pandemic. According to their survey metrics; Market Tightness (12), Sales Volume (6), Equity Financing (13), and Debt Financing (20) indexes all came in well below the break-even level (50).
“Residents across the country are currently under directives to stay at home and practice social distancing in order to contain the spread of COVID-19. As a result, much of the nation’s economic activity has been put on hold,” noted NMHC Chief Economist Mark Obrinsky. “With upwards of 20 million Americans now out of work, it is not surprising that 82 percent of respondents reported looser market conditions this quarter, and that just 5 percent observed a tighter market.”