Menu
The U.S. economy received another positive sign last Friday, as the October jobs report once again outperformed expectations. While the overall number of new jobs added was the lowest since the end of 2020, the 261,000 new positions exceeded analyst expectations. The tight employment market supports the likelihood that the economic slowdown is modest. Tuesday is election day and the result of the midterm, especially in a few key senate and house races will dominate the news cycle. Unless there is a sweeping Democratic victory, which I do not foresee happening, I expect little change to the economic trajectory for the coming year. A slight democratic or republican majority in either the Senate or the House of Representatives will not lead to wide scale legislation, and thus I expect further softening in the domestic economy until inflation comes down.
The October consumer price index will be released on Thursday and another high read will pave the way for the Federal Reserve to hike interest rates another 75 basis points next month. After last week’s increase, the Fed funds rate is now at its highest point since 2008. In his remarks last week, Chair Jerome Powell indicated that interest rates will likely have to be raised to a higher level than initially anticipated when the Fed embarked on their current path of monetary tightening.
Multifamily fundamentals continue to weaken, although there are potential signs of a bottoming out across different indicators. Traffic and leases have been flat for a number of weeks, and occupancy losses are slowing. Net effective rent continues to fall, but rents are a lagging indicator to traffic and occupancy.
Key Takeaways – Data as of 11/06/2022
Traffic and Leases:
Occupancy and Leased:
Net Effective Rent:
Radix Research
Research is a powerful solution for benchmarking and evaluating the performance of live properties and portfolios at submarket, market, and national levels. With access to a wide range of data analytics, Radix Research offers the most comprehensive, timely, and leading data, streamlining the research process for all stakeholders.
To retrieve this data, request a demo today.
7150 E Camelback Rd.
Suite #333
Scottsdale AZ, 85251
Phone: 602-892-4788
Email: info[@]radix.com
Rr. Ukshin Hoti, Nr. 120
Kompleksi Ramiz Sadiku, C3
Kosovo, Prishtine 10000
Phone: +383 44 855 334
Email: info[@]radix.com