Rental Housing Journal Colorado
September 2017 - Vol. 9 Issue 9
2. 3 Ins and Outs of Subletting You Probably Didn't Know 4. Renter Demand for Houses Puts Upward Pressure on Prices
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3 Low-Cost Incentives To Gain Property Management Training Completion
5 Keys To Investing In Emerging Multifamily Markets By Vinney Chopra
I
think it is critical to a multifamily investor to choose the “right” multifamily apartment complex to acquire. One of the most critical aspects of this is to find the right emerging markets. I am diligent in my exploration of opportunities in markets where jobs and local economies are expanding. I will take six months to a year to do the research to determine an emerging market. What is one key? I follow the jobs. What are emerging multifamily markets? Emerging multifamily markets are metro population centers in the U.S., and around the world, where there is
By Ellen Clark
W
e all know the value of training. For companies, it can reduce risk and increase the bottom line. For employees, it provides valuable job skills and opportunities for career advancement. For customers, good employee training improves their experience and overall satisfaction. But human nature is a funny thing. Even when we know something is good for us, we don’t always make the time or effort to do it. Did you eat five servings of fruits and vegetables yesterday? Did you get the recommended amount of exercise last week? Understanding the benefits of healthy habits doesn’t make it easier to fit them into our busy lives. The same goes for training. As with diet and exercise, some people are naturally motivated to do what’s good for them. In the training world, these are your superstars – the people you never have to beg to complete training. And then there are the rest of us, who need an external nudge to complete training on time (or maybe at all). Incentives can be an effective way to get employees to move training to the
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a strong demand for housing. And, properties are significantly increasing in value. In these areas, more jobs are being created and where you have more jobs, you have more people. This creates a pent-up demand for housing, including apartments and single-family homes plus other support services and businesses. What happens in areas where larger businesses are relocating or expanding? New jobs are being created Appealing lifestyles are emerging Rental potential increases Retail shopping centers and services are needed to meet growing population continued on page 5
8 Big Housing Changes Driverless Cars Could Bring By The Editors
F
ully autonomous vehicles (AVs), or driverless cars, should become commonplace within 10 to 20 years, disrupting entire industries while triggering structural shifts in housing and the economy, according to new research from John Burns Real Estate Consulting. “The path to government approval and consumer acceptance of AVs will have hiccups no doubt, so we expect ride-sharing along with semiautonomous vehicles to kick-start the movement towards AVs,” writes Rick Palacios Jr. Director of Research. For consumers, the tipping point for large-scale adoption will come when not owning a car makes more financial and logistical sense than traditional ownership. Car enthusiasts, the affluent, and rural households will continue to own cars as AVs or driverless cars evolve. Regardless of the adoption rate, AVs are the future.
So what impact will AVs, or driverless cars, and ride-sharing have on the housing market? “We think a big one. Increases in disposable income and productivity from AVs should drive overall economic growth higher, a positive for housing,” Palacios writes. “A portion of the money once allocated to owning/leasing a car should also free up for owning/renting a home. Here are some of the additional housing shifts we anticipate” as a result of AVs: No. 1 – Prime real estate unlocked New land will be available for new home construction as parking lots, auto dealerships and gas stations become obsolete. Additional supply in historically supply constrained locations will likely dampen home price appreciation and alleviate housing shortages in many cities. Due continued on page 7
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3 Ins and Outs of Subletting You Probably Didn’t Know By Christina Burch, www.appfolio.com
A
s a property manager, it’s your responsibility to manage all tenants in your properties – whether you’re dealing with complaints, finding new tenants to fill vacancies, or having to evict a renter for breaking the terms of their agreement. One thing to look out for is subletting. Some tenants might try to get away with illegally subletting their apartment, which can cause major problems for you as a property manager. It’s in your best interest to know the warning signs of a tenant illegally subletting to someone that doesn’t belong on the property. Protect yourself with these three important points on illegal subletting and how to spot it if it’s happening right under your nose.
Determine if an Illegal Sublet is Truly Taking Place Before you get too worked up about a situation that may not exist, determine if an illegal sublet is actually taking
place in one of your rental units. You do not want to accuse a tenant of illegally subletting their place if it’s not happening. This will harm your relationship with the renter and potentially create a rift that you might never recover from. Investigate the situation. It’s quite possible your original, contracted tenant may have gone on an extended trip and asked one of their friends to watch the apartment, feed the dog, bring in the mail, or do a number of other things to help while they are away. On the other hand, if this new person keeps going in and out of the apartment throughout the day, it’s quite possible they’re illegally subletting the place. At this point, you can introduce yourself and ask them some questions to find out more information. Based on their responses, you might know if they’re unlawfully subletting, and it’s time to do something about it.
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Let Your Original Tenant Know about the Lease Agreement Breach The original tenant may not realize they’re breaching their lease agreement. Either way, it’s important to meet with the tenant and notify them that they’ve violated their lease terms. Let them know about the breach in writing and give them 30 days to fix the problem before you begin taking legal action. Look into Potential Legal Options Now that you’re fully aware of the problem on your hands, it’s time to pursue potential legal options. If the tenant and illegal subletter do not take care of the situation, it can create all sorts of unwanted legal issues that you’d obviously rather avoid. Before you begin taking legal action, you can either contact a lawyer or research the laws in your state first. Since it’s an illegal sublet, it’s possible the person subletting the apartment
may not have any legal credibility or support and will willingly vacate the premises once you notify them that you’ve sought counsel. If the subletter refuses, you should contact a legal professional. They’ll help you proceed quickly and fairly.
Protect Yourself for the Future Equipped with these three tips, you can proceed with any illegal sublet situation knowing that you’re protecting your property and yourself from future conflict. As a property manager, you may not wish to ever use this information, however you’ll have the advantage if you ever run into this problem and need to solve it quickly.
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Rental Housing Journal Colorado · September 2017
Rental Housing Journal Colorado
Renter Demand for Houses Puts Upward Pressure on Prices
A
lmost half of all renters consider renting a single-family home, but less than a third actually do, according to the 2017 Zillow Group Consumer Housing Trends Report out this fall Rental houses have been in high demand since the housing market crashed, but a lack of supply has made renting those homes more expensive. According to a new ZillowÂŽ analysis, the median monthly rent for singlefamily homes is rising faster than the median monthly rent for apartments. While rents for both houses and apartments have slowed significantly over the past year, median rent for houses rose 1.3 percent annually to a monthly rent payment of $1,404, but median rent for apartments rose 0.5 percent, to a monthly rent payment of $1,551. There are fewer single-family homes to rent than a decade ago. When the housing market crashed, investors scooped up many single-family homes lost to foreclosure and turned them into rentals. Almost 20 percent of all single-
family homes across the U.S. were rented in 2016, up from 13.5 percent 10 years prior. Meanwhile, rentals are in increasingly high demand because many aspiring homeowners don't have enough money to buy a home. A 20 percent down payment on a typical U.S. home costs more than two-thirds of the median household income, but can cost up to 180 percent of the median household income in pricier housing markets like San Jose and Los Angeles. According to the 2017 Zillow Group Consumer Housing Trends Reporti (ZGR) coming out this fall, 45 percent of all recent renters consider renting a single-family home, but just 28 percent actually ended up renting one. The report also found that half of all buyers with children at home consider renting instead of buying during their home search, and according to the Census Bureau, 40 percent of families with children still living at home are rentersii. In half of the 50 largest U.S. metros, median rent for houses is rising faster than median rent for apartments. The
most extreme example of this trend is in Portland, Ore., New Orleans and Chicago. In Portland, monthly rent for houses is rising at almost 4.5 percent annually, but monthly rent for apartments is falling. Over the past year, median rent for Portland apartments fell just over 1 percent, to a monthly payment of $1,536. Median rent for Chicago apartments is also falling, while rent for houses is rising just over 1 percent annually. "When the market crashed, many families lost homes they owned during the foreclosure crisis, and now may not be able to afford to buy another as home prices rise," said Zillow Chief Economist Dr. Svenja Gudell. "Those who want to buy are finding it difficult to find the right one, or may need a bit more time to come up with a down payment, but still want the advantage of space that single-family residences often provide. This, coupled with the foreclosure crisis turning millions of homeowners into renters, is a big reason why demand for single-family rental homes has risen over the last few years. Even though
rental homes are in high demand, apartment living remains an attractive option for many young renters who want to be close to work and amenities, like restaurants and grocery stores." Generation X rentersiii (ages 38-52) are significantly more likely to rent a single-family home than any other home type. Just over 40 percent of Generation X renters rent a singlefamily home, compared to 25 percent of millennials (ages 18-37) and just 10 percent of Silent Generation renters (ages 73 and over)iv. Single-family rental homes are a popular choice among Generation X, but millennial and Silent Generation renters are more apt to rent an apartment. Over 50 percent of millennials and 62 percent of Silent Generation rentersv surveyed in Zillow's 2017 Consumer Housing Trends Report currently rent an apartment.
continued on page 7
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8 Big Housing Changes ...continued from page 1 to increased housing supply in good locations, there will initially be less demand for outlying locations, even though commutes will be easier. No. 2 – Drive-until-you –quality to reemerge Outlying drive-until-you-qualify housing markets will eventually reemerge once the majority of core infill markets have repurposed their prime real estate and consumers become more accepting of commutes given the option of working, sleeping, etc., while driving. No. 3 – Rise in urban employment Urban employment should rise as prime real estate is repurposed for housing, allowing more people to live closer to city centers. Those residing in tertiary areas will be more accepting of commutes into the urban core for job opportunities now that they can work/ sleep/etc. while en route. The commute times should also be shorter when compared to traditional human drivers behind the wheel.
with the days of wide streets, massive driveways, and two-/three-car garages a thing of the past. Builders will be able to get significantly higher density, and consumers will be buying a home where 100% of the square footage is truly livable. We’re already seeing apartment developers shifting to zero parking. Innovative master-planned communities such as Florida’s new Babcock Ranch (eventually home to 50,000 residents) are already utilizing AV community shuttles, with the goal of having on-demand AVs that individual residents can use via smartphone apps. No. 5 – Declining construction costs Construction costs should decline as transportation costs plummet for moving building products from manufacturing facilities/warehouses to new home construction sites. Construction timelines should also improve for home builders as the transportation of building products becomes a 24/7 operation handled by AVs. Labor may also become more available due to mobility improvements brought about by AVs coupled with
displaced workers in other industries (energy, auto, trucking). These developments should allow for faster new home construction at a lower cost. No. 6 – Fewer home sales Fewer homes sales will occur as the elderly will be able to stay in their existing homes long after losing their driving rights. No. 7 – Demand for assisted living facilities could fall Longer-term housing turnover will likely be suppressed as AVs enable the elderly to stay in their existing home while aging in place, maintaining independence despite losing their driving rights. Demand for assistedliving facilities could also fall as a result, especially when compared to past generations. No. 8 – Repair and remodeling increase There is a bullish case for repair and remodel industry, as AVs enable more retirees to age in place. Grab bars, slipresistant flooring, and wider doors/ hallways to accommodate wheel chairs are just a few examples of remodeling
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Summary: Impact of driverless cars More money in consumers’ wallets As automobiles shift from a consumer good (owned/leased) to service (on demand), loan/lease payments, fuel, maintenance, and insurance costs will disappear almost completely. The boost to household disposable income will be significant once scaled. A productivity boost for everyone A jump-start in wage growth and overall economic activity will happen. Beyond shortening commute times due to better reliability and efficiency than human drivers, AVs , or driverless cars, will transform billions of commuting hours into time that can be reclaimed for remote working or personal recharging (which should boost in office productivity too). Some of this previously lost time will also be reallocated to media consumption and online shopping. Money that consumers previously spent on owning/maintaining their cars will now be spent on other things while riding in them. Industry productivity should also improve as 24/7 AVs enable more to be done in less time across various supply chains and logistics channels. “All in all, we expect the advent of AVs, or driverless cars, to benefit the overall housing market and greater economy,” Palacios writes. “How it shakes out and who the industry winners/losers will be remain up for debate. The above is our assessment based on what we know today, which could quickly change depending on government policies, which are hard to predict. “For builders and developers not already doing so, it is imperative to begin strategizing on how your business may shift as AVs gain scale,” he said. This article courtesy of John Burns Real Estate Consulting. About Rick Palacios Jr. Rick, senior vice president and director of research, oversees subscription research conclusions, producing timely, accurate and thorough analyses. He is particularly well-known for quantifying the impact on housing of unique industry events, such as surging student loans or falling oil prices. Rick originally joined John Burns Real Estate Consulting in 2006, and then re-joined the company in 2014 after working as a home builder Equity Research Associate at Morgan Stanley in New York. He has also worked as an Analyst at the Milken Institute, and as a Senior Investment Banking Analyst. Rick holds a B.A. from the University of California, Irvine, and an M.S. in Real Estate Economics and Finance from the London School of Economics, and works in our Irvine office. If you have any questions, please contact Rick at (949) 870-1244 or by email at rpalacios@realestateconsulting.com.
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5 Keys to Investing ...continued from page 2 There may be 20 to 30 emerging multifamily markets across the U.S. at any one time.
No. 1 - How to analyze a market First, find the people who know the markets best. Commercial brokers, property managers and others. Start building relationships with these people early on. I may study a market for six months or a year or more before even approaching a broker. For example, when I thought I wanted to invest in the Atlanta area emerging market, I scheduled a four-day trip. On the trip, I talked to the top people at major commercial brokerage firms (presidents, executive VPs, etc.). When I returned home, I followed up with texts and emails with these new contacts every 10 days. We exchanged articles on Atlanta. I would send them articles and they would send me articles. I also sent gifts (chocolates, gift cards, etc.) to stand out and win favor. In the beginning, the properties brokers would send me were overpriced. I wasn’t interested. As the brokers started to see my property criteria and that I was a serious buyer, they started offering me “pocket listings” that better met my criteria. No. 2 - How to know a market has peaked and not buy there I am constantly doing research. I had been looking at the Atlanta area for more than seven months. In Cobb County cities, for instance,
in Marietta and Smyrna (Actress Julia Roberts home town!) the properties were peaking and going for $100,000 to $125,000 a door. If I had bought three to five years ago in those areas, I would have done well today. I was not interested.
No. 3 – My secret research trick I have signed up to receive Offering Memorandums (OMs) from multiple brokers in my target areas. The great thing about OMs is that the big brokerage firms have extensive research budgets and resources. They do excellent market research. The OMs always have, in the last pages of the OM, a wealth of market information with extensive exclusive data. I use this data for my own research and share it with my investors. I will occasionally bid on OMs I receive via email (if the numbers make sense) but I do not often win the bid. No. 4 – Sell properties after three to seven years The primary reason I only hold on to properties three to seven years is that investors generally do not want to invest for longer periods of time on any one property. In my Private Placement Memorandum (PPM) for each property with accredited investors, I usually say properties will sell anywhere from five to seven years. But if conditions are right and I can sell sooner, I will. I will sell especially
if I can see the opportunity to double investors’ money. In those cases, each market hasn’t technically peaked, which is good because it’s much easier to sell. Other buyers still see the area as a “hot” market and I am able to get top dollar for the properties. When it reaches the top of the growth cycle bubble, prices will start declining and it is harder to sell.
No. 5 – My emerging market buys Back in 2006, I started researching various population centers around the U.S. where unemployment numbers were some of the lowest. I identified areas such as Odessa and Midland in West Texas. I bought seven multifamily properties in those areas. Then I found similar employment numbers in Central Texas, in Round Rock , Austin and San Antonio. I bought eight more properties there. More recently I bought in an area south of Houston, a tertiary market where $110 billion was going to be spent in the next 15 years and I bought 10 more properties. In that area, I found a town 30 to 40 miles south of Houston, Angleton, that was not as dependent as Houston on the oil industry. At one of the properties, the property manager told me that the property had 100 percent occupancy and 25 families on a waiting list. I bought the property for $8.7 million and two years later it was worth $11.7 million. I bought another near there for $5,225,000 and recently got an offer for $7,225,000. I ended up buying 10 more properties in that market. All of these deals have been “pocket listings” (unlisted offerings that brokers make available exclusively) from brokers with major commercial firms (ARA, Marcus & Millichap, TransUnion, Cushman Wakefield, etc.). Some big wins in Atlanta Over the last year, I have focused my research on parts of Atlanta that have emerging multifamily markets. I found 90 potential properties, made offers on 45, and was in best and final on four. Unfortunately, I didn’t get any of them. However, recently I was presented two great deals at $37,000 per door. One where the property across the street was just sold into syndication for $66,000 per door. I am currently buying two different properties in the Atlanta area comprised
of 458 units cumulatively that I believe will double in value in the next few years. Summary: Steps in researching emerging multifamily markets Talk with local brokers. Do online research (IRR.com, data. gov, globest.com). In Google: type city name and write “economic growth” or “potential new business.” Put city’s name and Forbes, Wall Street Journal or WSJ, Fortune, US News & World Report. Research jobs numbers. Look at occupancy numbers and trends up or down – Is it 90% and above? Look at multifamily building permits being issued in the city. Migration information, such as who and how many are moving there. Contact local Chamber of Commerce as they have great info on local business growth Visit the city – meet with chamber, brokers, others. Look for new employers in the area, such as new hotels, restaurants, or Walmart. About the author: Vinney Chopra is the Founder and CEO of Moneil Investment Group and President of Ideal Investments Group. His latest accomplishments include acquiring 12 multifamily assets in the last 28 months worth $132 million. His last two syndications were sold out in just a few hours, and one in 36 hours raising $4.7 million and another one $6 million in eight hours. Between the two syndication companies he founded, Vinney’s team is controlling over $200 million worth of assets. He is a mechanical engineer. After graduating from The George Washington University and finishing his Master’s in Business Administration in Marketing, he shifted his focus to marketing and motivation. He was a professional fundraising consultant and motivational speaker for more than 35 years. Vinney and his wife started their real estate investments in 1983. He currently owns singlefamily homes and multifamily units in Texas, California, Atlanta, Arizona and India. Many times, people call him “Mr. Enthusiasm” or “Mr. Smiles.” He likes to bring great value to everyone he comes in touch with.
Text REALESTATE-ROI to 44222 to receive a digital copy of this year's Real Estate Opportunities in Investing (ROI) Finding Investing Success in Today's Housing Market Rental Housing Journal Colorado · September 2017
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Rental Housing Journal Colorado
3 Low-Cost Incentives ...continued from page 1 top of their priority list. When you hear “incentives,” you might see dollar signs. The reality is that most of us don’t have the budget for, or even the authority to spend money on, incentives. However, things with monetary value aren’t the only way to incentivize people. Here are some low-cost incentives that can help increase your property management training participation rates. No. 1 - Create competition Set up a simple leaderboard on the intranet, in your LMS, or even through email. You might be surprised what a little healthy competition can do. No. 2 - Publicly acknowledge accomplishments
Send a company-wide email, write a newsletter blurb, or say a few words at a team meeting congratulating people who completed training or attained a certain score. No. 3 - Praise effort in property management training Don’t forget the people who completed training a day late, or failed their first attempt. Praising their effort in a handwritten note, a personal email, or swinging by to encourage them face-to-face can be just the motivation they need to keep going. As you put together a low-cost incentive plan, here are some additional things to keep in mind:
What people need to do to get on a leaderboard or be acknowledged should be attainable. Creating too many hoops to jump through may negatively impact motivation. Update leaderboards often, and don’t wait for the annual retreat to acknowledge people. Too much time between meeting the goal and getting the reward could lessen the impact of the incentive. Finally, resist the urge to try a whole bunch of new incentives at once. Rather, try one at a time, use the strategy for a while, then look at data to see if it seems to have impacted training rates. Being as systematic as possible will help you find which low-cost strategies
work so you can spend your time and effort on things that really make a difference in property management training. Read Ellen's full blog post here. About the author: Ellen Clark is the Director of Assessment at Grace Hill. Her work has spanned the entire learner lifecycle, from elementary school through professional education. She spent over 10 years working with K12 Inc.’s network of online charter schools - measuring learning, developing learning improvement plans using evidence-based strategies, and conducting learning studies. Later, at Kaplan Inc., she worked in the vocational education and job training divisions, improving online, blended and face-to-face training programs, and working directly with business leadership and trainers to improve learner outcomes and job performance. Ellen lives and works in Maryland, where she was born and raised.
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Rental Housing Journal Colorado · September 2017
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Renter Demand ...continued from page 1 Metropolitan Area United States New York/Northern New Jersey Los Angeles-Long Beach-Anaheim, CA Chicago, IL Dallas-Fort Worth, TX Philadelphia, PA Houston, TX Washington, DC Miami-Fort Lauderdale, FL Atlanta, GA Boston, MA San Francisco, CA Detroit, MI Riverside, CA Phoenix, AZ Seattle, WA Minneapolis-St Paul, MN San Diego, CA St. Louis, MO Tampa, FL Baltimore, MD Denver, CO Pittsburgh, PA Portland, OR Charlotte, NC Sacramento, CA San Antonio, TX Orlando, FL Cincinnati, OH Cleveland, OH Kansas City, MO Las Vegas, NV Columbus, OH Indianapolis, IN San Jose, CA Austin, TX Virginia Beach, VA Nashville, TN Providence, RI Milwaukee, WI Jacksonville, FL Memphis, TN Oklahoma City, OK Louisville-Jefferson County, KY Hartford, CT Richmond, VA New Orleans, LA Buffalo, NY Raleigh, NC Birmingham, AL Salt Lake City, UT
Zillow Rent Index vi (ZRI) Among Apartments $1,551
Apartment ZRI YoY Change 0.5%
$2,332
-1.1%
$2,408
-0.9%
10.5%
$2,455
3.4%
$2,815
4.0%
24.5%
$1,543 $1,366 $1,228 $1,285 $1,915
-1.5% 2.8% -0.8% -3.2% 0.9%
$1,694 $1,607 $1,694 $1,553 $2,295
1.1% 2.6% 0.2% -2.7% 0.7%
12.8% 17.0% 14.9% 16.0% 14.7%
$1,596
-1.7%
$2,115
-1.5%
20.8%
$1,336 $2,240 $3,002 $1,301 $1,679 $1,178 $1,849 $1,387 $2,220 $939 $1,201 $1,586 $1,652 $1,084 $1,536 $1,208 $1,456 $1,146 $1,160 $1,025 $903 $1,022 $979 $1,102 $1,018 $3,101 $1,536 $1,236 $1,419 $1,317 $940 $1,184 $1,127 $784
3.0% 2.8% -0.9% 0.6% 4.8% 1.1% 4.1% 1.7% 5.3% 0.6% 0.3% -0.8% 3.1% -2.0% -1.1% 1.4% 7.5% 1.1% 2.5% 2.9% -1.7% 2.5% 4.3% 0.2% 0.8% -0.4% -0.5% -0.6% 1.0% 1.9% -0.9% 0.3% -0.4% -1.1%
$1,358 $2,428 $3,461 $1,141 n/a $1,371 $2,243 $1,645 $2,623 $1,166 $1,409 $1,746 $2,119 $1,078 $1,890 $1,280 n/a $1,340 $1,466 $1,296 $1,197 $1,295 n/a $1,373 $1,208 $3,583 $1,727 $1,454 $1,496 $1,700 $1,504 n/a $1,041 $1,101
3.5% 2.0% -0.9% -0.3% n/a 2.5% 5.4% 3.9% 4.3% 0.6% 2.4% -0.2% -0.4% -2.4% 4.4% 3.1% n/a 1.0% 3.2% 1.6% 0.1% 1.4% n/a 2.2% -0.3% -0.9% -0.7% -0.8% 3.0% 2.2% 0.9% n/a -2.4% -3.5%
19.3% 8.5% 20.4% 16.1% 24.8% 22.1% 16.5% 10.6% 25.2% 14.1% 19.2% 16.3% 15.9% 13.7% 16.9% 17.8% 23.7% 19.2% 20.4% 14.7% 15.3% 17.6% 28.5% 18.1% 17.1% 20.2% 16.0% 20.3% 14.5% 10.5% 13.1% 19.1% 22.2% 20.5%
$1,036
3.7%
$1,183
4.1%
14.5%
$1,294 $1,223 $1,434 $802 $1,196 $995 $1,386
1.1% -0.4% -3.6% 1.4% 1.5% -1.2% 3.0%
$1,678 $1,349 $1,392 $1,255 $1,441 $1,062 $1,567
-1.9% -0.5% 0.8% -1.2% 2.8% -0.6% 5.0%
7.8% 18.0% 17.5% 9.8% 16.5% 13.2% 12.5%
About Zillow Zillow is the leading real estate and rental marketplace dedicated to empowering consumers with data, inspiration and knowledge around the place they call home, and connecting them with the best local professionals who can help. In addition, Zillow operates an industry-leading economics and analytics bureau led by Zillow's Chief Economist Dr. Svenja Gudell. Dr. Gudell and her team of economists and data analysts produce extensive housing data and research covering more than 450 markets at Zillow Real Estate Re-
search. Zillow also sponsors the quarterly Zillow Home Price Expectations Survey, which asks more than 100 leading economists, real estate experts and investment and market strategists to predict the path of the Zillow Home Value Index over the next five years. Launched in 2006, Zillow is owned and operated by Zillow Group, Inc. (NASDAQ: Z and ZG), and headquartered in Seattle. Zillow and Zestimate are registered trademarks of Zillow, Inc. The 2017 Zillow Group Report on Consumer Housing Trends is the largest-ever survey of i
Rental Housing Journal Colorado · September 2017
ZRI Among Single-Fami- Single-Family Home ZRI ly Homes YoY Change $1,404 1.3%
U.S. home buyers, sellers, owners and renters. The full 2017 Zillow Group Report – which examines the characteristics, aspirations and priorities of more than 13,000 U.S. residents aged 18 to 75 about their homes – will be released this fall. ii According to the U.S. Census Bureau, American Community Survey, 2015.
Renters who moved into their home in the past year.
iii
Share of Single-Family Homes that are Rentalsvii 19.2%
The Zillow Rent Index (ZRI) is the median Rent Zestimate® (estimated monthly rental price) for a given geographic area on a given day, and includes the value of all single-family residences, condominiums, cooperatives and apartments in Zillow's database, regardless of whether they are currently listed for rent. It is expressed in dollars. vi
National number is from 2016. The latest data available at the metro level is from 2015.
vii
iv According to the 2017 Zillow Group Consumer Housing Trends Report coming out this fall.
Renters who moved into their home in the past year.
v
7
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