New Economic Reports Detail COVID-19 Impact on Greater Houston Area
As global economies begin to assess the fallout of the ongoing COVID-19 outbreak, new reports from Yardi Matrix and the Greater Houston Partnership shed light on the local multifamily housing market.
The Yardi Matrix National Multifamily Report for March 2020 found that the Southwest region, which includes Texas, outpaced other regions in rent growth, employment growth and transaction volume. On another positive note, the Houston area saw over 7% total employment growth between 2015 and 2019. The report also noted that the multifamily housing industry will eventually recover from the current economic circumstances. The complete report is available here.
The Greater Houston Partnership Economy at a Glance bulletin for April also outlined the area’s economic situation amidst the pandemic. Unemployment claims in the Houston metro area reportedly exceed the number of jobs lost during the Great Recession. Understandably, delinquency rates are forecast to average about 10%. Occupancy rates are projected to fall; however this is largely due to the number of multifamily properties currently under construction. Find the latest Greater Houston Partnership Economy at a Glance Report here.
As the novel coronavirus outbreak is largely unprecedented, many property investors are doing their best to balance how to protect their investments with the human aspect of sheltering tenants. It’s important to remember that these are extraordinary circumstances that will fade over time.
To learn more about multifamily property investments in the Greater Houston area, reach out to CKR’s award-winning property management team.