Single-family homes in high demand due to COVID-19. Following the Great Recession, the single-family rental (SFR) market experienced solid growth. In fact, the SFR market expanded by more than 3.8 million households between 2006 and 2016. Now, with COVID-19 a part of everyday life, this trend has continued as Americans rethink the kinds of lifestyles they want. With social distancing and stay at home orders in place, densely populated areas are losing their appeal to many, creating an uptick in interest for single-family homes.Why renters prefer single-family homes
Atlanta’s economy, which is typically sustained by a diverse business environment, has recently hit a COVID-19 roadblock. The region, which had already seen a slight softening prior to the pandemic, saw a 0.2 percent decline in rent this month. It’s been on a trailing three-month basis through June, according to Multi-Housing News. In addition, employment growth turned negative for the first time since 2010.
Due to a major statewide increase in COVID-19 cases, Charlotte faces an uncertain future. The state’s eviction moratorium expired June 21, and Charlotte’s city government is researching options to handle possible spike in eviction filings, according to Charlotte Business Journal. Overall, the metro’s multifamily sector slowed with only a few projects continuing through the pipeline.
Most southern states largely avoided the worst of the health crisis before they adopted flexible and early reopening plans that could pay dividends for their local economies. The relaxing of lock-down policies has the potential to save many small businesses, assuming a flare-up of the virus does not cause them to close again. Despite the challenges, investors and developers did not hit the brakes, and instead shifted focus to high-demand affordable housing in suburban zones.