The Housing Double Boom
Modeled Behavior submits:
By Karl Smith
I have no idea if this is in reference to anything I have written but Bill McBride is emphasizing the following:
This fits with the recent Reis data showing apartment vacancy rates fell in Q1 2011 to 6.2%, down from 6.6% in Q4 2010, and 8% in the Q1 2010.
Two key points I’ve made over and over are 1) with falling vacancy rates and rising rents, the number of multi-family starts will pick up sharply this year (but still be well below normal), and 2) this pickup will lead to a positive contribution to GDP and payroll jobs for construction in 2011, the first positive contribution for either since 2005. This survey reinforces both points.
I pointed out the differences between my perspective and Bill’s in an earlier posts. I want to make sure that I recognize that Bill has been forecasting an increase in multi-familyComplete Story »