Looking Ahead at Greater Houston Economic Projections for 2020
Throughout the past year, CKR has highlighted the ongoing economic reports to identify trends in the Greater Houston multifamily real estate market. These reports demonstrate the area’s resilient economy, steady population growth, and strong multifamily industry. The December Houston at a Glance forecast revealed by the Greater Houston Partnership points to the health of Houston’s economy.
The key takeaways from this month’s economic report include:
· The region is projected to create 42,300 jobs in 2020 concentrated in the healthcare, government and construction industries.
· 22,500 apartment units are currently under construction and another 28,000 are in the planning phase. These trends are expected to continue into the new year.
· The Greater Houston area is expected to gain an additional 31,000 new residents in 2020.
CBRE also released a 2020 multifamily outlook that continues to show that multifamily supply and demand both remain robust heading into the new year. The outlook predicts that 280,000 multifamily units will come online nationwide in 2020, which is a similar prediction in comparison to 2019.
However, multifamily investment has dropped in cities with rent control legislation like New York, Los Angeles, and the San Francisco area. Suburban areas will also see higher investment opportunities than urban areas. These points make the Greater Houston area a prime region to see continued growth in multifamily construction and investment.
To learn more about multifamily property investments in the Greater Houston area, reach out and get acquainted with CKR’s award-winning property management team.