US Multifamily Developer Confidence Improves in Q2
Multifamily Developer Confidence Increases in Second Quarter
On Thursday, NAHB released the results of its Multifamily Market Survey (MMS) for Q2, showing confidence in the market increased for multifamily developers.
The Multifamily Production Index (MPI) rose 2 points year-over-year to 46, while the Multifamily Occupancy Index (MOI) increased 1 point to 82.
NAHB said multifamily developer confidence edged higher compared to last year, with the subsidized subcomponent showing the strongest gains. This is attributed in part to optimism about expanded federal affordable housing resources from the recent congressional reconciliation bill. However, high interest rates, rising construction costs, limited land availability, and restrictive local regulations remain significant challenges in some areas.
Even so, NAHB said multifamily starts are becoming less constrained as the number of apartments under construction declines and normalizes.
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