Apartment Market Gains Momentum in Q2

Posted on September 25, 2013 by gottarunrunrun

Good news released late last month by the National Association of Home Builders (NAHB) improves the outlook on multifamily housing. The NAHB published their Multifamily Production Index (MPI) for the second quarter of 2013. The index shows a nine-point increase to 61, which is the highest reading since the inception of the index in 2003.

Multifamily housing refers to apartments and condominiums. The index measures builder and developer responses about current market conditions – rating on a scale from 0 to 100. Any reading above 50 shows that more professionals report conditions are improving rather than getting worse. The index is measured using three key elements: construction of low-rent units, “for-sale” units, and market-rate rental units.

In the second quarter, all components saw a welcomed increase. Market-rate rental properties rose six points to 67. This is the 11^th straight quarter where this number was above 50. Low-rent units also increased five points to 60 and for-sale units saw an incredible 16-point jump.

W. Dean Henry of Legacy Partners Residential and chairman of NAHB’s Multifamily Leadership Board says, “Multifamily developer confidence is currently at an all-time high … we expect to see that continue for the foreseeable future. Much of the consumer demand that we are now seeing is coming from a large generation of young people who are able to find jobs and establish their own households as the economy continues to improve.”

With every aspect of the MPI improving, we’ll see a much-needed boost in the apartment industry. The Chief Economist of NAHB, David Crowe, notes that the expanding production is necessary to keep up with the demand and to catch up with new unit production that was lost during the housing downturn. We’re definitely moving in the right direction!

Arcadia Run is a prime example of positive apartment production. Our apartments are the nicest in the Manassas area and offer the perfect living alternative for those who don’t want to buy a house. Not to mention, our spaces provide the best features available while still being affordable. With more people choosing to rent, the demand for Arcadia Run apartments will grow, and their availability will soon be limited – so don’t hesitate! As the economy and apartment industry improve, there is no better time to rent with Arcadia Run.

Source: The National Association of Home Builders

Renters Can Afford More for Less

Posted on September 4, 2013 by gottarunrunrun

Earlier this summer, CoreLogic released their Rental Applicant Risk report for the first quarter of 2013. The report was encouraging for current and prospective renters all over the country.

The report details that during the first quarter of this year, the Renter Applicant Risk (RAR) index was up two points to 104, which is considered healthy. This new number is also up from the 99 that was reported at this time in 2011. Any number above 100 means that applicants have better credit and are most likely able to meet their lease requirements.

“As the economy continues to grow slowly, conditions appear cautiously optimistic for continued improvement in renter applicant qualifications in the year ahead”, says CoreLogic Safe Rent senior director Jay Harris. “During this relatively upbeat period, renter trends are pointing toward increased confidence among property owners and applicants.”

Additionally, national apartment vacancy rates are falling. The U.S. Department of Commerce reports that rental vacancy rate declined more than one percent in the second quarter. And according to Wells Fargo, “Solid fundamentals and employment growth are expected to continue to support the rental market.” This just further proves that the rental market is making a major comeback.

Rental properties are in high demand, encouraging renters to move quickly when choosing a new apartment. Renters, especially in today’s market, are able to get better, bigger, and nicer apartments by choosing to rent instead of buy. Arcadia Run is a perfect example why. We provide the absolute best apartment buildings in Manassas. We take care of maintenance costs and our renters have access to a gym, walking and jogging trails, a soon-to-be pool, and much, much more. Those who buy a home might never have access to these types of amenities without paying a huge price.

Upscale apartments offered at reasonable rent have proven to be extremely popular. Our apartments are newly built with the best amenities and features, and nestled in an ideal location. It couldn’t get any better than this! The rental market won’t be slowing down any time soon with more renters than ever choosing this active lifestyle. Renters get the best of all worlds when they choose Arcadia Run.

Sources:

Aol Real Estate

The Wall Street Journal Market Watch

Renting – The New American Dream?

Posted on August 20, 2013 by gottarunrunrun

Years ago, the American Dream included owning a house in the suburbs, among other old-school ideals. However through unstable markets and changing mindsets, the dream has transformed into something new. The new American Dream includes renting, urban living, and revolves around consumer convenience.

Even though many people can afford to buy a house, they are opting to rent their homes instead. Residents can avoid costs for maintenance, homeowner’s taxes, and other housing burdens by renting. Many apartment complexes, Arcadia Run included, take care of maintenance costs for you, making your living experience that much better.

This allows tenants to spend their extra money elsewhere. They can save up for a new car or put more money away for savings. Rent is also typically cheaper than mortgage payments, allowing residents to save even more money. Many homeowners will put any extra cash they have straight back into their home. But with how the housing market has been in the past, if they lose the house, they’ll also lose all the money and hard work they invested into it.

With renting comes the security and reassurance that you won’t be losing your house or be drowning in mortgage payments. More and more people are seeing this lifestyle as more desirable (who wouldn’t?) than going through the process of owning a home. Not to mention, more people want to live in environments where they are close to everything they need. When buried in the suburbs, homeowners have to drive to virtually everywhere they go. Renting in Arcadia Run allows tenants to walk to many places like the gym and other apartment amenities. It’s also close to downtown historic Manassas, a huge venue for fun and activities.

Renting allows residents to live the American Dream to the fullest, without worrying about mortgages, interest rates, or even foreclosures. And, it helps them to pocket the extra money they save, allowing them to splurge on themselves and their families more often. The American Dream isn’t gone; it has only changed to become more relevant and universally accepted today. Arcadia Run apartments make it easy to choose this lifestyle over any other. Our residents are active, living life to the fullest, and achieving the American Dream every day.