Multifamily housing has always been a steady performing asset class, and trends show this will continue:

• The percentage of our population who are defined as renters - echo boomers, students, and seniors - continues to increase. The percentage of young adults living at home is well above the 25 year trend.
• Demand has bounced back sharply during the first half of 2010 and modest job growth will cause this trend to accelerate.
• Consumers continue to move to renting.  We've had six years of declining homeownership rates and gained five million new renter households from 2005-2010. (Ron Witten, Witten Advisors)
• Resident retention rates are increasing dramatically due to improved customer service efforts (MFE, June 2010)

If an economic recovery brings the share of young adults living at home from 29.4% down to only 28 percent, that would mean an additional 950,000 households, most of whom would be renters.

For more information on the multifamily housing industry, visit the publisher's blog.