The Apartment Building Cycle

One question I receive quite often is, "Where are we in the apartment building cycle, right now?"

Well, that depends on where you are. Below you'll find a graph provided by the great folks at Integra Realty Resources, Inc. This will give you an idea of where different regions throughout the country are in the apartment building cycle. Enjoy.




Although the multifamily market is a less stable than it was last year due to the numerous economic factors affecting unemployment, apartments still offer investors favorable returns with considerably reduced risk when compared to other assets. Vacancies have increased slightly because residents are doubling up or moving in with parents or friends.

The good news is educated apartment investors can pick up property for substantially less than they could a few years ago. Many uneducated sellers bought at the peak of the market and are now selling for much less than they paid--in some cases by as much as 50%. Cap rates have increased and fewer buyers are writing offers. 2009 and 2010 look to be incredible years to buy apartments.

Don't know what to do or need more information? Check out my how to courses at www.SteveSteadele.com.

If you'd rather a passive investment with no tenant hassles, mortgage, property management or maintenance headaches but want the ability to earn 12%-20% on your money secured by real estate, visit www.SteveSteadelePartners.com.

Do you have a question? Email me at steve@stevesteadele.com.


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