26. May 2010 06:55
It used to be the American Dream to own a home, and while for some that may still be true, three growing demographics indicate that rental apartments will increasingly be in favor in the coming years. According to a whitepaper by Chris Lee of CEL & Associates, Generation Y—the children of Baby Boomers—favor an urban living environment and currently don’t have the financial means to purchase a new home. Gen Y is accustomed to apartment living and chooses to put career in front of marriage, family and home-buying.
Another developing demographic are the parents of Gen Y—Baby Boomers. The senior population is expected to reach 72.1 million people by 2030. Currently homeowners, these future renters are increasingly preparing to sell their homes and move into senior living communities. Additionally, Lee reports that more than 50% of the increasing US Hispanic population rents, and states that “Fifty-four percent of U.S. population growth between 2000 and 2030 will be Hispanic.”
As homeownership rates continue to decline, renting is truly becoming the choice of many Americans—and the industry will need to respond quickly with new apartments as the demand continues to increase. Now is definitely the time to start planning for new apartment construction, and DeLuxe’s modular construction method makes sense when it comes to building quickly and efficiently. We can build and set an apartment building up to 50% faster than conventional construction methods typically can, which means occupied apartments and immediate revenue for owners. Our modular building process also translates into project cost savings including builder’s risk insurance, on-site construction services, pilferage, labor delays, material delivery delays and weather delays.
The coming years will continue to be economically challenging for the housing market, but the apartment industry clearly shows promise as demand will undoubtedly increase. The future looks bright…and now is the time to begin building that future.
View some of DeLuxe's completed Apartment projects here