An investment in multifamily real estate can help you diversify your investment holdings. This is an area of real estate that many investors have had personal experience with, so it may feel like a comfortable foray into real estate investing.

In addition to familiarity, though, there are many sound reasons to invest in multifamily real estate. Let’s take a look at the top 5 reasons.

  1. Demand for multifamily real estate should continue to rise. 

Last year set a record for multifamily demand, with annual absorption – the total number of newly built apartments that were rented during the year – of 617,500 apartments, according to CBRE. That was up 238% from 2020 levels and 97% from 2019.

Vacancy rates in the multifamily sector are at their lowest in nearly four decades: As of Q4 2021, the vacancy rate was just 4.5%, according to Costar data.

It’s no wonder that a recent Berkadia survey found that 82% of mortgage bankers and investment sales advisors expect demand for multifamily housing to rise.

Many people prefer renting over owning their home, and there are many reasons for this:

  • Home ownership is not a top priority for millennials or Gen Z, who are delaying marriage and may be carrying heavy student debt burdens.
  • Rising home prices and mortgage rates have priced many people out of the market.
  • As workers spend less time at each job, they want more flexibility to move for the best opportunities.
  1. An investment in multifamily housing can offer both income and appreciation. 

Rents offer an income stream to multifamily investors, while the property itself may appreciate in value. And rents have been rising.

According to Redfin, in January 2022, the nationwide average asking rent for an apartment was up 15.2% from January 2021. Rents rose even more in particularly in-demand metro areas, with the top 10 growing markets all seeing rent growth of 30% or more from 2019 to 2022. In fact, only two metro areas that Redfin tracks saw rents fall during January.

  1. Multifamily real estate offers a wide range of investment options.

Apartments are in demand in suburban and urban areas, small and large cities, and across regions of the U.S. Properties range from garden-style apartments that may be just a couple of stories high to skyscrapers, from multi-building communities to single standalone buildings. Multifamily properties also cater to a variety of demographics, and include various levels of amenities – you can invest in Class A, B or C multifamily, or in affordable or workforce housing specifically.

  1. Multifamily real estate tends to be inflation-resistant.

Most apartment leases are for one or two years, which means rate changes can happen frequently. The ability to adjust rental rates to match the market gives multifamily real estate tremendous inflation resistance.

  1. Governments are focused on building affordable and workforce housing.

This focus stems in large part from rising home prices, and has led to a variety of government incentives for developers of affordable and workforce housing. This type of multifamily real estate can be an investment that is both profitable and performs a social good. The right types of housing help communities thrive, reduce homelessness and increase the quality of life for residents.

Are you interested in investing in multifamily properties through crowdfunding? Sign up with Lloyd Jones to learn more about hotel investment opportunities.

MIAMI, Fla. — Lloyd Jones Capital will attend Opal Group’s 2016 Real Estate Investors Summit on March 29-30 at the Eden Roc Hotel on Miami Beach.

Lloyd Jones Capital, a private equity multifamily real estate firm, is sponsoring a breakfast event on the first day of the summit, Tuesday, March 29th from 7:30 a.m. to 9 a.m. In addition, the firm’s Chairman and CEO, Chris Finlay, has been chosen to appear as a panelist on the Investment Styles & Strategies panel scheduled for 10:45 a.m. on the same day. “I look forward to speaking at this year’s Real Estate Investors Summit along with other investment experts and offering insight about multifamily real estate investing,” said Chris Finlay, who is also the Chairman and CEO of Finlay Management, Inc., a multifamily property management firm.

Lloyd Jones Capital is hosting a booth during the two-day summit, providing information about the firm’s multifamily investment services and its executive team. “Opal Group is a stellar organization that provides an excellent venue to network with peers and industry professionals,” Finlay said. “My team and I are looking forward to educating attendees about a variety of multifamily investment niches and strategies.”

With more than 35 years of experience, Finlay has led the firm to close numerous transactions and is eager to pair new, lucrative multifamily investments with new investors. “We look forward to connecting with hedge fund managers, private investors, family office managers, institutional investors and pension funds attending this year’s summit. Our investment services and know-how can offer real value and produce significant yields for our clients,” Finlay said.

Lloyd Jones Capital is a private equity real estate firm that specializes in the multifamily sector. With 35 years of experience in the real estate industry, the firm acquires, improves and operates multifamily real estate in growth markets throughout Texas, Florida and the Southeast.

Lloyd Jones Capital provides a fully integrated investment/operations platform. Its property management arm partners with the investment team to provide unparalleled local expertise in each of its markets. Headquartered in Miami, the firm has offices throughout Texas and Florida. The firm’s investors include institutional partners, private investors and company principals. For more information visit

Samantha Savory
Director of Marketing/PR
Lloyd Jones Capital
O: 305.415.9910