PHILADELPHIA, PA, August 22, 2013 /24-7PressRelease/
-- According to Paul R. Steinfurth
--CEO of real estate firm the Styles Group--the push for apartment rentals is hitting a high point. While many American consumers have presented increased demand for single-family homes, Steinfurth points to new evidence that reveals a similar trend in the multifamily sector. As a real estate professional who has led the Styles Group to success through its acquisition and management of multifamily properties, Steinfurth encourages all those in the rental sector to stay aware of these trends in order to meet consumer demands and achieve market success.
A recent article from U-T San Diego assesses the continued rise in apartment rental demands, a trend that has been continuously increasing over the past few months. Focusing on the San Diego market, the article explains, "Rents are up and choices are down...Marcus & Millichap, [a] commercial real estate company, says rents rose to $1,457 in the second quarter and will continue to rise, although at a slightly slower pace. The reason? Vacancies are down to 3.5 percent from the first to the second quarter of this year as demand for rentals remains strong."
Although these figures represent the San Diego rental market, Paul R. Steinfurth notes that they are not too far off from national trends. He explains, "Right now there are some exciting shifts happening in regards to real estate demand. While a push in interest rates has motivated many apprehensive buyers to pursue opportunities in the single-family market, the shift has also encouraged others to go the other way--to remain renters within multifamily residences. San Diego remains one of the most desirable places in America, but its shortage in vacancies reflect what many other key metropolitan areas in the country are experiencing"
Many consumers might expect rental demand to decrease as more consumers push to move into single-family homes, but according to U-T San Diego, this pattern is not likely to diminish anytime soon. The article states, "Single-family [home buying] is rising but renting won't loosen up. There remains a 44 percent gap between renting and owning, based on what a typical household can buy on the typical income." Additionally, while construction rates are increasing, there is already significant evidence that young professionals, such as millennial renters, will quickly fill new occupancies. For Paul R. Steinfurth, this is great news for investors.
"The estimation that rental demand is not going to drop anytime soon is a great indicator that multifamily investments should perform well in the near future. Property managers and owners may want to consider improving their real estate's marketability to capitalize on these growing trends," Paul R. Steinfurth concludes.
Paul R. Steinfurth
is the CEO of the Styles Group, a real estate firm which is now fully-integrated due to their acquisition of the comprehensive management company, Southeast Residential Group. As owner of Styles, Steinfurth offers more than 15 years of experience in asset management and real estate investment. He has remained a noted business leader, as he helped the company's portfolio grow from 1,000 to 3,000 units in just four years' time. For more than 25 years, The Styles Group has concentrated on multifamily, middle-market real estate. Under the guidance of Steinfurth, this company has acquired over 5,000 units in approximately 42 investment properties and is positioned to grow even more in the future.