Middle-income rental housing is fundamentally the best investment opportunity in multifamily today, according to Kettler in a recent report.
A combination of favorable demographics and the ever-increasing need for affordable homes is improving demand fundamentals. At the same time the luxury supply wave has crested, which will create a window of opportunity for investment in this subsector in the coming years. In this paper, we will define the subsector, its fundamentals, benefits and risks, and show investors how an allocation to middle-income rental housing can help generate higher and more stable returns from their multifamily portfolio, while also addressing a critical societal need to preserve affordable housing.
To read the full report, click here.