Investor Sentiment for Apartment

Overall CRE Sentiment Stable, Points to Active Market

•Investors sustain positive outlook, on par with the prior peak – signals steady momentum

•Investor sentiment a forward-looking indicator of investor activity

Underlying Housing Demand Strong

•Job growth unlocking accelerated household formation, driving absorption of new units

•Despite cycle high construction, vacancy will remain restrained in 2019 – particularly for Class C

Apartment Sentiment Stable, But Caution Growing

•Majority of investors expect values to increase, though expected gain waning - points to greater investor caution

•Investment market active - investors focusing on diversification, tax and opportunistic strategies