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Investing? Houston Apartment Investment Forecast 2016: Marcus/MillichapInvesting? Houston Apartment Investment Forecast 2016: Marcus/Millichaphttps://www.recenter.tamu.edu/news/newstalk-texas/?Item=118312016-01-28T06:00:00Z2016-01-28T17:10:00Z

HOUSTON - Hiring in Houston’s medical community and downstream oil and gas operations will support the apartment market this year as the energy industry awaits stabilization. 

Overall total employment growth will remain slow for a second consecutive year as energy firms continue to cut spending in 2016, according to Marcus & Millichap’s 2016 Multifamily Forecast report. 

Slow employment growth pulled down Houston six spots in the NMI this year.

Following a 0.5 percent bump in employment last year, Houston companies will expand payrolls 0.6 percent with the addition of 17,000 positions.

Deliveries in 2015 reached 20,000 units as developers sped up timelines to bring hundreds of rentals online. Completions this year will slow slightly as builders bring 18,000 apartments to market.

A second year of record deliveries will bring additional softening to the market and vacancy will rise 30 basis points to 6.5 percent. In 2015, vacancy increased 40 basis points.

Rent growth will ease slightly this year, advancing 4.5 percent to $1,050 per month. The average effective rent rose 4.6 percent last year.

Petrochemical growth in the eastern portion of the metro is boosting demand for housing nearby, and with limited new inventory coming online, older assets in this area will be prime for repositioning.

Take a quick look for investments statistics at Marcus & Millichap's U.S. 2016 Investment Forecast summary​ covering Atlanta to Washington D.C.​​
Marcus & Millichap Real Estate Investment Services
Houston-The Woodlands-Sugar Land
Multifamily
https://assets.recenter.tamu.edu/documents/mktresearch/Marcus_Millichap_NAR.pdf

Click to see the full​​ Marcus & Millichap National Apartment Report 2016 (PDF).

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