According to the National Association of Realtors, the number of active for-sale homes in June 2023 increased by 7.1% on a year-over-year basis while unsold homes decreased by 4.6%. Home sellers were less active than they were in previous years. A report from CBRE noted that rental housing could be the likely beneficiary due to higher costs associated with homebuying and supply constraints in certain markets such as Boston, MA.
The NAR reported that median price of for-sale homes fell 0.9%, marking the first decline since 2017 while material prices are on an upward trajectory according to Marcus & Millichap’s June 2023 report . Mortgage rates are expected to ease somewhat but this may not necessarily lead to more development activity which will further increase demand for rentals over time and provide a tailwind for rents going forward according CBRE analysts’ conclusions .
