Shortage of Total Housing Completions

Recent apartment construction was backfilling well below average single-family completions.

Source: Freddie Mac 2018 Mid-year Outlook.

Housing Construction Falls Short of Demand

Overall housing construction has been under-supplied relative to household growth during the economic recovery.

* Forecast     ** 2Q 2018

Source: Marcus and Millichap

U.S. Multifamily Permits, Completions and Starts

Multifamily permits are declining indicating completions likely peaked.

Source: U.S. Census Bureau

Inputs to Residential Construction

Rapidly rising construction costs could limit future supply.

(January 2017 – Present)

Source: National Association of Home Builders