The past year has posed its challenges to the multifamily sector as millions of people found themselves out of jobs and struggling to pay rent. Meanwhile, the well-to-do, who in some cases have financially benefitted from a booming stock market, low interest rates and lower non-essential spending due to pandemic-related restrictions, have been switching to homeownership at higher rates. In spite of these trends, most industry trackers forecast continued demand for multifamily units in the years ahead. But a recent outlook report from commercial real estate data firm Yardi Matrix shows that the biggest increases in units to be constructed in 2021 will take place in smaller markets, including Louisville, Ky. and Charlotte, N.C., as opposed to big coastal cities like New York and San Francisco.
Here’s a breakdown of the markets that are slated to see the greatest number of units constructed this year.