Latest North Texas demographics and housing market trends indicate promising multifamily real estate market.
After a slower 2023 – with a 25% year-over-year decrease in new multifamily construction permits, and financing more challenging due to higher interest rates – the Dallas-Fort Worth multifamily real estate sector is already poised for growth in 2024. New construction ventures will bring to market tens of thousands of apartments this year – and as the population of North Texas is expected to grow from 8 million to 12 million by 2050, the future of multifamily housing looks promising, says Ronald Collins, CEO of Frisco-based BuiltIn Realty Group.
Young professionals at the core of the projected growth
A major contributor to the projected population growth consists of a “young, skilled, and diverse” labor force, as Dallas Federal Reserve Bank CEO and president Lorie Logan stated at the 2024 Tarrant Transportation Summit. This demographic has historically favored apartments and condominiums over single-family homes, explains Collins, and market dynamics already indicate a surge in demand for multifamily properties in the Dallas-Fort Worth area.
And the trend is expected to continue, too. The DFW metro area ranks #18 in the top 25 best US places for young professionals, with a growing, future-proof economy focused on IT, finance and insurance, healthcare, and defense, among others.
“Young people at the start of their careers are going to continue to move into the area,” says Collins, “and they’re going to need affordable housing. Multifamily properties are always at the top of the preference list for this demographic, so the demand is likely going to grow. And with significant cash flow potential, better economies of scale, and robust potential for appreciation, multifamily properties will continue to draw in more and more investors, too.”
DFW in the top 10 hottest US housing markets
These dynamics make the DFW metro the 9th hottest housing market in the US, ahead of key markets like Atlanta, Phoenix, or Seattle. And while long-term trends are never cut and dried, Collins believes that DFW’s growth might just bear good news for the US market as a whole.
This content is provided in partnership with BuiltIn Realty Group and is intended for informational purposes only. The views, opinions, and advice expressed in this article are solely those of BuiltIn Realty Group and do not necessarily reflect the views or policies of any other individual, organization, or entity. This information is not intended as investment advice or as a recommendation for any specific action or strategy. Readers should consult with a professional advisor for advice tailored to their individual circumstances.
Company Info
Name: BUILTIN INVESTMENTS
Organization: BUILTIN INVESTMENTS
Address: 5000 Eldorado Parkway,Frisco,75033,TX,United States
Website: https://builtinrealty.com/
