Buy, Sell, Hold: Multifamily Investments in an Unpredictable Market

Deciding whether to buy, sell, or hold multifamily investments can be especially vexing during an economic downturn. But managers and investors who dive deeply into currently available high-quality multifamily market data can effectively navigate tricky markets such as the current one and make sound decisions about asset disposition. Naturally, acquiring distressed properties may make good sense when the economy tumbles. But knowing which markets offer the most promise in recovery isn’t always obvious because not every market or submarket is the same. Downtown high-rises in Dallas and Houston may have similar profiles, but surrounding environments and performance factors ultimately determine their abilities to excel. Even markets in the same area of a state can be driven by very different metrics. What appears to be a good multifamily investment or divestment based on peripheral market data may reveal a different story in light of deeper local data. Real-time multifamily market lease transaction data enables multifamily investors to make decisions based on facts, no matter how counter-intuitive. Records of actual lease transactions offer valuable insight into how a market is currently performing and where it is headed. Investors can leverage the information when buying, selling, renovating, or building from the ground up. Market analytics tools help enhance operational sustainability The obvious benefit to hyper-local multifamily housing data is that it gives the real-time pulse of a market or submarket. Properties that effectively navigate the ebbs and flows of business by leveraging this data are naturally more attractive to investors. Their numbers speak for themselves. Property management companies have begun relying on real-time, meticulously scrubbed data based on daily lease transactions. This data intelligence enables them to make educated investment, divestment, and rehab decisions about pricing, budgeting, and forecasting, in addition to invest...