New research shows that single-family housing may be decreasing while the rental market continues to grow. Many reports in the U.S. have shown that the rental market is increasing. A large amount of investors are betting on multifamily housing as many younger adults are choosing to rent due to job constraints and other financial factors. Chris Flanagan, MBS/ABS Strategist with Bank of America-Merrill Lynch and MBS Strategist Justin Borst said in their Securitization Weekly Overview, “the December housing starts report provided some confirmation of the theme we discussed last week, which was that it appears as if a structural shift away from getting a mortgage and buying a single-family home to just being a renter is underway.” More here
