According to NAHB analysis of quarterly Census data, the count of multifamily, for-rent housing starts declined during the fourth quarter of 2024. For the quarter, 91,000 multifamily residences started construction. Of this total, 86,000 were built-for-rent. This was almost 12% lower than the fourth quarter of 2023.
The market share of rental units of multifamily construction starts ticked higher to 95% for the fourth quarter. A historical low market share of 47% for bult-for-rent multifamily construction was set during the third quarter of 2005, during the condo building boom. An average share of 80% was registered during the 1980-2002 period.
For the fourth quarter, there were 5,000 multifamily condo unit construction starts, up from 4,000 a year ago.
An elevated rental share of multifamily construction is holding typical apartment size below levels seen during the pre-Great Recession period. However, according to the fourth quarter 2024 data, the average square footage of multifamily construction starts moved higher to 1,129 square feet. The median edged up to 1,039 square feet. These are notable moves higher off of multidecade lows.
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This article was originally published by a eyeonhousing.org . Read the Original article here. .
