After recording good real estate data in 2011, apartment industry experts are expecting to see similar trends during the new year, Multi-Housing News reports.
In wake of the Great Recession, apartments suddenly saw an increase in demand from both rents and investors alike. Subsequently, some experts anticipate 2011 to be known as the year that the apartment industry bounced back.
"Powerful demographic trends, along with changing attitudes about homeownership and tighter mortgage underwriting, continue to drive a shift toward renting," said National Multi Housing Council chief economist Mark Obrinsky.
Meanwhile, the industry has responded with rising rates of development after years of lag due to stricter lending standards, he added.
According to NMHC's most recent Quarterly Survey of Apartment Market Conditions, 67 percent of respondents noted a sizable increase in apartment industry activity - including planning and construction.
Additionally, the survey found that 20 percent of developers are breaking ground at a faster rate. However, despite the increased rate, 54 percent of respondents noted that new developments remain considerably below healthy demand.