Chandan Economics

Thrilled to host Leadership Lessons from America's Diverse Chief Executives, the New York City book launch for Bill Ferguson's new leadership treatise, at NYU Stern Real Estate next Wednesday evening. Co-Chairman and CEO of Ferguson Partners, Bill interviewed 24 of the country's most prominent CEOs, presidents, and board members and has distilled those conversations into a roadmap for young professionals reflecting on career advancement, leadership excellence, and good citizenship. This program is fully subscribed, but please email [email protected] to be added to the waitlist. There is no cost to attend and all attendees will receive a signed copy of Bill's book. Among the 24 chief executives, presidents, and board members interviewed for the book: Priscilla Almodovar, President and CEO, Fannie Mae Daryl J Carter, Founder, Chairman, and CEO, Avanath Capital Management, LLC Leslie D. Hale, President and CEO, RLJ Lodging Trust Jodie W. McLean, CEO, EDENS Mary Hogan Preusse, Senior Advisor, Fifth Wall Amy Price, President, BGO

Arbor’s latest Small Multifamily Investment Trends Report, developed in partnership with Chandan Economics, examines a sector that consistently shows stability amid ongoing economic volatility. With asset valuations, originations volumes, and other indicators trending favorably, small multifamily sits in a prime position to build on its ongoing momentum. Read the report: https://lnkd.in/g2AwXVeX #ArborResearch #MultifamilyInvesting #CRE

It is not just #Florida and #California. Across all owner-occupied households, property insurance prices have risen by an average of 64.6% over the decade ending in 2023. The States where insurance prices have jumped the most include: South Dakota: +112.5% Colorado: +111.4% Nebraska: +98.4% Notably, these three States are part of the so-called “Hail Alley.” South Dakota and Nebraska are firmly in the crosshairs of Tornado Alley, while Colorado and South Dakota are high-risk States for wildfires. At the other end of the spectrum are: Alaska: +17.1% Vermont: +30.7% New Hampshire: +35.9% All of which have generally stable insurance markets and lower exposure to catastrophic natural disasters. In the populous “Big Three” States (California, Texas, and Florida), which have dominated the insurance headlines in recent years, here’s how the data looks: Texas: +78.9% Florida: +72.0% California: +66.3% I plan on doing more insurance deep dives and visualizations over the next few days. If you have a question about how a particular metro area, property type, or any other cut stacks up — I’m all ears!?? #Insurance #Texas #realestate #propertyinsurance #data #tornadoalley #hailalley #cre #risk #creinvestment #Alaska #Vermont #NewHampshire #SouthDakota #Nebraska #Colorado #housing #housingcosts #homes #insuranceprices Chandan Economics

Much like their childbearing neighbors, #households without #children in the home saw a drop in #homeownership rates in the aftermath of the US #housing crisis. However, the commonalities between the two groups start and stop there. Compared to the “with children” group, the #HousingCrisis had a far more muted effect. The duration of decline for households without children lasted only seven years — three years fewer than homes with children. Moreover, the cumulative decline was a mere 2.5 percentage points, comparing favorably to the dip experienced for with-children households (-5.8 percentage points). Generational differences and so-called “survivor effects” are the likely reasons that this group experienced a milder decline in homeownership post-housing crisis. As of the most recent data, the average age of a homeowner with children in the home is 48.8 years old —more than a decade younger than the average age of homeowners with no children in the home (61.2 years old). Full analysis here: https://lnkd.in/eBAJX2Dk Chandan Economics #renters #rentalhousing #cre #realestate #demographics

Increasingly, households without children are taking up a more substantial piece of the #US #housing pie. Since the year 2000, the number of homeowners without children has grown from 36.3% to 39.1% of all US households. Impressively, this group’s total number of households has surged by 33.9% — the second fastest-growing subset in this analysis. Meanwhile, it is renters without children who claim the accolade of being the fastest-growing household type. Since 2000, childless renters have seen their ranks grow by 40.1%. Resultingly, they have gone from 20.6% of all US households at the turn of the Millennium to 23.3% in 2023. On the other side of the ledger, #households with children have grown in absolute numbers — but not quickly enough to maintain their market shares. The number of #homeowners with #children has grown 9.3% since 2000, though it has seen its share of all US households slip by 3.6 percentage points to 26.2%. Similarly, #renters with children have grown in aggregate by 7.0% while their market share has fallen by 1.8 percentage points to 11.5% of households. Read the full Chandan Economics analysis, titled "Homeownership and Household Trends: Families vs. Child-Free Homes," here: https://lnkd.in/eBAJX2Dk #data #homeownership #demographics #apartments #multifamily #rentals #cre #realestate #sfr #singlefamilyrentals #babyboomers

Multifamily permitting offers investors a lens into the future. To illustrate how supply dynamics impacts rent pricing patterns in major metropolitan markets, Chandan Economics analyzed emerging trends in permit issuance in newly released U.S. Census Bureau data. Find out why Austin, TX, leads all markets in per capita permitting: https://bit.ly/42XCr20 #ArborResearch #Multifamily #CensusData

It's mixed bag of results for apartment rent collections in the preliminary February 2025 data. The not so good: - On-time collections dropped off in February for their third consecutive month and currently sit at their lowest point (85.2%) since April 2021. - Performcance trends have slid for the better part of the past two years. After the on-time payment rate climbed above 88% in Spring 2023, they have gradually slipped to the 85% range where they sit today. The dose of optimism: - February’s forecast full-payment rate, which includes on-time payments, late payments, and expected late payments based on historical trends, improved to 94.9% — a 34 bp improvement from January and the highest point since November. - The updated January 2025 estimate was revised higher by 37 bps, significantly lessening the severity of last month’s deterioration. Chandan Economics RentRedi

Key Takeaways from the February 2025 Chandan Economic-RentRedi Independent Landlord Rental Performance Report: - In February 2025, the on-time payment rate in independently operated rental units slipped by 16 basis points (bps), falling to 85.2%. - The forecast full-payment rate improved for the first time since October, risng to 94.9%. - Western states continue to hold the highest on-time payment rates in the country, led by Idaho, Utah, Colorado, New Mexico, and Alaska. - 2-4-family rental properties and single-family rentals held the highest on-time payment rates in February, coming in at 85.7%. https://lnkd.in/e4hazUDV #apartments #data #landlords #sfr #singlefamilyrental #singlefamilyrentals #cre #realestate #commercialrealestate

Barriers to accessing financial capital are critical to the protracted racial inequities in housing and wealth creation. Individuals with no established credit history face significant obstacles to accessing financial markets. An analysis by Oliver Wyman and Experian?data in 2022 found that 19% of Americans — roughly 49 million people — don’t have a conventional credit score, while 11% are entirely credit-invisible. Credit invisibility also displays wide variation by race. Hispanic Americans have the highest proportion of credit invisibility, with 16% of consumers having no credit record available. Black Americans and people identifying with a race outside the survey's segments are the second highest, at 14%. Asian and White Americans are less likely to have no credit history, with invisibility rates of 10% and 9%, respectively. The racial gap in credit access is significantly higher when measuring the share of the population that receives prime credit rates. Asian and White Americans have significantly higher proportions of prime borrowers, representing 62% and 51% of their respective populations. The share drops steeply for Hispanic and Black Americans, with 29% and 20% of the population receiving prime rates, respectively. Similarly, just 24% of those identifying as all other racial groups have access to prime rates. Tackling America's racial inequities in wealth necessitates a wide-lens view of where they arise. Experian's findings are valuable but dated. As the policy outlook for 2025 takes shape, more studies of these developments are crucial. For more on our findings, visit the link below: https://lnkd.in/ezBVjZjQ (Via Chandan Economics)

As sustainability and #ESG goals evolve in various markets, one overarching theme shared at the 3rd Annual Symposium on Innovation & Sustainable Real Estate at NYU Stern Real Estate was how decarbonization, financing climate-resilient communities, and green solutions for affordable housing remain priorities for commercial real estate investors. ? “What was most telling for us was seeing that issues like affordability and investing in sustainability were pervasive and are the common threads that connect us as real estate investors and civic leaders no matter where they are in the world,” said Dr. Sam Chandan, Founder and Non-Executive Chairman of Chandan Economics and Founding Director of the Chen Institute for Global Real Estate Finance at NYU Stern School of Business, who organized the symposium and spoke on a panel about The World Economic Forum's 2025 Framework for the Future of Real Estate he co-authored. ? Our team enjoyed listening to some of our industry’s forefront sustainability leaders, and we thank you to all the panelists for sharing your unique perspectives on how #CRE can address some of its biggest challenges. #ArborRealtyTrust #Multifamily #NYUSternRealEstate?