What Is Causing the Build-To-Rent Slowdown?

  1. Supply chain disruptions: The COVID-19 pandemic has disrupted supply chains globally, leading to shortages of building materials and delaying construction projects.

  2. Rising construction costs: The cost of labor and materials has increased significantly over the past year, making it more expensive to build new rental properties.

  3. Reduced demand: Some experts believe that demand for build-to-rent properties may be decreasing as more people opt to buy homes instead of renting.

  4. Economic uncertainty: Uncertainty in the economy, particularly in the wake of the pandemic, may be causing some investors to shy away from build-to-rent projects.

  5. Regulatory hurdles: Some cities and municipalities may be imposing restrictions or regulations that make it more difficult or expensive to build new rental properties.