Houston Multifamily Market Heats Up Ahead of Summer
Much like the temperature this time of year, the multifamily real estate market in Houston is warming up – and fast. A number of recent headlines have highlighted the Houston market and the metro’s ongoing growth potential due to moving trends, emerging markets and housing demand.
Earlier this week the U.S. Census released the latest population data, which can be a reliable indicator for multifamily housing demand. According to the data, more than 91,000 people moved to the Houston metropolitan area between July 2017 and July 2018 – the third biggest metro population increase over the time period. Bloomberg coverage of the Census report pointed to the temperate climate, affordable living, and less dense population area, as some of the top driving factors behind population growth in southern U.S. metros, including Houston.
Job industries also continue to influence population trends. While Houston has long been recognized as the Energy City, Space City, and for the world’s largest medical center, today the city’s economy is more diversified. Apartment Guide recently included Houston in their list of “hot tech markets” due to the city’s new Innovation Corridor and a growing number of startup incubators. Professionals will find themselves right at home among the myriad of established and up-and-coming technology companies, and multifamily housing is in demand by workers looking to establish roots in Houston.
In other news, Yardi released their monthly report for March 2019. The report showed a stabilization in Houston-metro multifamily rent increases. The city saw a less than 2% multifamily rent increase from March 2018 to March 2019. However, the low rent increase rate for Houston likely is a result of more temporary renters moving back into homes that recently had renovations completed due to Hurricane Harvey.
These latest trends support the ongoing investment opportunity that Houston presents in the multifamily housing market. CKR Property Management specializes in the Greater Houston multifamily market and is uniquely qualified to work with investors looking to maximize the opportunity to capitalize on the still-hot Houston property market. Contact the award-winning CKR team today to discuss opportunities.