The market share of rental multifamily construction starts increased to 96% during the second quarter of 2020. This according to the National Association of Home Builders deeper analysis of the Q2 data from the U.S. Census Bureau. The historic low was 47% which was set in Q3 of 2005, which was during the great condo boom. During the second quarter of 2020, there were only 3,000 condo multifamily units that started construction. Condo construction has been weak since the end of the Great Recession. There were 76,000 rental apartment starts. An elevated rental share of multifamily construction is holding typical apartment size below levels seen during the pre-Great Recession period. According to Q2 2020 data, the average per unit square footage of multifamily housing construction starts was 1,126, off from the post-recession high set at the start of 2015 (1,247 square feet).
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Multifamily Family Built-for-Rent Share Reaches New High