As the real estate landscape continues to evolve, data from RentCafe reveals a staggering rise in build-to-rent housing, offering valuable insights for investors navigating this booming market. Here are the top five takeaways for real estate investors:

📈 Record-Breaking Growth: Build-to-rent homes witnessed an unprecedented surge in 2023, with nearly 27,500 houses completed nationwide. This marks a remarkable 75% increase from the previous year and underscores the robust demand for single-family rentals.

📌 Prime Investment Locations: Phoenix, Dallas, and Atlanta emerge as the top three metros for build-to-rent construction, collectively accounting for almost one-third of all units added in 2023. These cities offer lucrative opportunities for investors seeking high-demand rental markets with strong growth potential.

🏗️ Continued Expansion: The momentum shows no signs of slowing down, with over 45,400 build-to-rent houses currently under construction. While many of these units are slated for completion in 2025, investors can expect sustained growth in the build-to-rent sector in the coming years.

🗺️ Diversification Beyond Traditional Markets: While the Southwestern region traditionally dominated build-to-rent development, the trend is now expanding to new territories such as Florida and even the Bay Area.

Because what's more Floridian than retiring in a build-to-rent home, where you can enjoy the sunshine and the comfort of knowing you'll never have to fix a leaky roof? It's the retiree's dream: sun, sand, and zero responsibilities!

This diversification gives investors a broader range of investment opportunities in emerging markets with untapped potential.

🤩 Focus on New Construction: Renters are increasingly drawn to newly constructed single-family homes for rent, equipped with modern amenities and spacious layouts. In fact, 41% of build-to-rent homes were built in the last five years, highlighting the appeal of fresh, contemporary rental properties to today's tenants.

In summary, the build-to-rent housing boom presents an unprecedented opportunity for real estate investors to capitalize on the surging demand for single-family rentals. By strategically targeting high-growth markets, diversifying their portfolios, and prioritizing new construction projects, investors can position themselves for success in this thriving sector.

Inflation Chill Pill: All three major US stock indexes reached record highs on Wednesday after data showed inflation cooled in April. The S&P 500 gained over 1.2% to close at 5,308.15, the Nasdaq Composite rose about 1.4% to 16,742.39, and the Dow Jones Industrial Average increased by 350 points or 0.9% to close at 39,908. The Consumer Price Index showed prices were up 3.4% for the 12 months ended in April, down from 3.5% the previous month. On a monthly basis, prices rose 0.3%, slower than the 0.4% increase two months prior. Core CPI, which excludes energy and food, slowed from 3.8% to 3.6%, its lowest rate since April 2021. (CNN)

Retail Rockstar: The retail market is currently the strongest performing property division among the four leading asset types, with multi-tenant retail space absorption in Q1 totaling 1.4 million square feet, according to Marcus & Millichap. The broader commercial real estate market is generally neutral, with higher interest rates and slowing economic growth impacting demand. The multifamily sector saw a 10-basis point increase in the national vacancy rate due to new unit completions, with nearly 104,000 additional apartment units filled in Q1. (Globe St)

1% Down: Panorama Mortgage Group (PMG) has introduced a new program, the 1st Generation Homebuyer program, which allows first-time homebuyers to secure a loan with a 1% down payment. The program also provides a 2% grant to meet the conventional 3% down payment minimum. The program is designed for borrowers who are the first in their family to buy a home, and the 2% grant does not need to be repaid. No restrictions on property location or census tract make the program available nationwide. (HW)