Austin, Houston, and Dallas Amongst the Top 10 Metro Areas in Multi-family Construction

With the current state of the housing market and rising interest rates, affordable housing is in demand now more than ever. Single family home prices have dramatically increased in recent years. This along with the lack of supply of homes on the market have led several people to turn to renting instead of owning.

Austin, Houston, and Dallas have remained steady in population growth since 2021. It is no surprise that three of Texas’ most popular cities are leading the market in multi-family construction. The lack of home inventory has led to the increase in demand for new construction.

Austin leads the Lonestar state with 61,873 units currently under construction with 106,000 additional units in the planning phases. Dallas does not tread far behind with 65,532 units underway and another 163,000 being planned. Houston follows with 34,709 units in the process of being built, and 71,000 units expected.

Although total construction figures are lower than in the years prior due to current financial conditions, the multi-family sector remains strong. While the state of the commercial real estate market is still uncertain, several sectors offer a silver lining to the industry.

By engaging in thoughtful conversations with their colleagues in adjacent industries and monitoring trends that affect property values in real time, our commercial appraisers can better understand what’s happening in some of the nation’s hottest — and most rapidly expanding — CRE markets. Keeping their ear to the ground and their eyes on the horizon also allows them to be nimble and deliver their insights on time, every time, if or when construction challenges affect any given project.?

Contact us?today to connect with LPA and our valuation experts at any of our 8 locations.