Earlier this month the Washington Economic Development Partnership released an in-depth look at all the buildings that are going up inside the city limits of the nation’s capital.
There is a lot to dig into but the biggest takeaway for anyone who works in the residential market is how many new units will be rentals instead of for-sale properties. Of the units currently under construction there are over eight thousand more rentals than purchase properties planned for the city (specifically: 8,966 rental and 1,205 for-sale units, see page 45).
The disparity is even more drastic when you look at the almost 28,000 units in the pipeline—nearly 22,000 of them are expected to be rentals. This is most likely a response to the huge surge in young people coming to the city (or, in the case of the many college graduates, they are simply staying in the city).
So the big question that remains is will they turn into homebuyers a few years down the road?
Go here to read the full report. The residential chapter begins on page 42.