Apartment Market Conditions

NMHC Quarterly Survey of Apartment Market Conditions (October 2007)

Please allow me to summarize.

Question #1: How are apartment market conditions in the local markets that you watch? "Tight" markets are defined as those with low vacancies and high rent increases. Conditions obviously vary greatly from place to place, but on balance, apartment market conditions in your markets today are:

Modestly loosening.

Question #2: What about sales of apartment properties in the local markets you watch? The sales volume (number of deals) currently is:

Train wreck.

Question #3: What about equity financing for apartment acquisition or development? Considering both price and non-price terms, equity financing today is:

Train wreck.

Question #4: What about the conditions for multifamily mortgage borrowing? Considering both interest rates and non-rate terms, compared to three months ago:

Train wreck.

Question #5: How has the subprime mortgage meltdown and the subsequent tightening of mortgage credit for home buyers affected renters in the markets you are familiar with?

Train wreck.

Let's just hope this financial train wreck doesn't turn into a financial model train wreck or one day Americans could wake up screaming.