HOMES & LIFESTYLES
Before You Buy
THE NEW BUILD-TO-RENT TREND EXPANDS RESIDENTIAL OPTIONS ACROSS METRO ATLANTA By Ken Abramczyk
F
or homeowners, relocation to another
had needs for more room or had a grow-
when millennials began to fuel housing
community or state traditional-
ing family. We thought that market was
demand as some paid off student loans.
ly meant selling one house to buy
incredibly underserved.”
They were itching to build their own home
another. Not anymore. Would-be home
ResiBuilt moved forward on the build-
equity, and they entered the market with a
buyers who enter the metro Atlanta market
to-rent concept but soon discovered the
vengeance. Low interest rates also helped
now are considering and leasing homes
potential market was larger than strictly
fuel the housing markets for new homes
in build-to-rent communities, a hot trend
millennials. “We expected millennials, but
and homes listed for sale.
that has emerged in Georgia, spawned by a
they only make up about 40 percent [of
low housing inventory, skyrocketing home
customers],” Byce says. “Another 40 percent
pause button,” says John Hunt, principal of
values and demographics that may want
is recent empty nesters. Those people either
MarketNSight, which researches housing
more mobility or lack the funds needed for
want to downsize or move to a hassle-free
and mortgage data and trends. In May
a mortgage down payment.
lifestyle.”
2020, there were 2.7 months’ supply of
Developers noticed this trend and recog-
Fortunately in metro Atlanta, those look-
“But the pandemic hit and that hit the
available homes to purchase, but that fell
nized this unfilled need. Among them was
ing to take advantage of rental opportuni-
to 0.7 of a one month supply in May 2021,
Jay Byce, co-founder and SVP of ResiBuilt
ties have plenty of options.
according to MarketNSight research. With
Homes, which offers several communities for rent throughout metro Atlanta. “When we started looking at the Atlanta
How We Got Here
0.7 months’ supply, inventory “might as well be zero,” Hunt says. These potential
This housing dynamic is a remarkable
home buyers turned to rentals because
market specifically, we noticed builders
evolution. The foreclosure explosion
they could not find housing they liked or
were constructing second or third homes
of 2008 to 2011 increased the housing
could afford to purchase. With values con-
or higher-end homes,” Byce says. “We
stock and property availability until the
tinuing to increase and housing inventory
looked at the dynamics and realized that
foreclosures leveled out. Construction of
so tight, Hunt explains, “Housing is in a
millennials who were apartment dwellers
new homes stalled. Fast forward to 2019,
vacuum right now.”
42 KNOWAtlanta SUMMER 2022
