Development leaders: Build-to-rent outlook positive on First Coast
While interest rate increases have slowed some of the momentum, area builders say the demand for these products remains solid.
Funk was one of the many speakers at Wednesday's Urban Land Institute meeting at the San Jose Country Club. Funk stated that there are many people who rent. Funk said that although they may not be interested in owning anything, they still want to live in a home. Funk stated that there were a few homes left after the 2008 recession. Funk stated that investors were attracted to the market by rising interest rates in 2021. "A year ago you could choose a lot. Pick one of your floor plans and put it up. Funk stated that if you have a tenant, it will work. "Today, underwriting is more difficult. He stated that the construction aspect of build-to rent isn't much different from building a regular subdivision. Egger stated that a greater emphasis on amenities is in line with the increasing popularity of apartments. YellowBird Homes Vice President Kyle Passkiewicz stated that there has been a breakthrough in institutional property management over the past 10 years. He said, "All the pieces are getting better to make it happen." "Lenders: If I had come to you five years ago, you would have said no." Passkiewicz stated that while the field is low-maintenance, it presents a challenge in maintaining homes for renters. He said, "It's going nowhere."