A new article from National Association of Home Builders (NAHB) Chief Economist Robert Dietz reported that the number of single-family homes built-for-rent (SFBFR) raised, showing a slight increase year-over-year. According to NAHB’s analysis, the first three months of 2020 saw 8,000 SFBFR starts. This figure is up from 7,000 at this time last year.
“The SFBFR market has received attention as a means to add single-family inventory amid concerns over housing affordability and downpayment requirements in the for-sale market, particularly during a period involving elevated unemployment and weak wage growth,” Dietz said in the article.
Although quarter-by-quarter statistics are not as significant, the findings show a glimmer of hope for SFBFR construction, especially with certain households wanting to move to lower density neighborhoods but only being able to do so via rental.