Succeeding in the build-to-rent sector

(Disclosure: Rose Law Group represents Christopher Todd Communities, Lennar, Taylor Morrison and Toll Brothers.)

By Joe Bousquin | Builder

This is when it gets hard to sell houses again. And that’s good news for home builders in the burgeoning single-family build-to-rent (BTR) space.

After nearly two years of surprisingly brisk demand from buyers that drove home prices and sales higher across the country, a slowdown has finally arrived. Rising mortgage rates, tacked onto home prices that had grown as much as 19% in 2021—the biggest rise in 34 years—chased away foot traffic at spring openings.

“Housing leads the business cycle, and housing is slowing,” said NAHB chairman Jerry Konter in a May release announcing the worst showing for builder confidence since June 2020.

That, of course, was right before millions of Americans, faced with the uncertainty of the unfolding COVID-19 pandemic, did the unexpected and started buying houses in droves. Instead of hunkering down, hoarding cash, and staying put, home buyers left major metropolitan areas and sought single-family homes in the suburbs, where they could find enough space to work remotely while avoiding elevator rides and awkward hallway greetings with their neighbors.

READ ON:

Share this!

Additional Articles

Get Our Twice Weekly Newsletter!

* indicates required

Rose Law Group pc values “outrageous client service.” We pride ourselves on hyper-responsiveness to our clients’ needs and an extraordinary record of success in achieving our clients’ goals. We know we get results and our list of outstanding clients speaks to the quality of our work.

News Categories