Home Prices Not Affordable in 74 Percent of U.S. Cities by Average Wage Earners

ATTOM Data Solutions | October 07, 2019

According to ATTOM Data Solutions' Q3 2019 U.S. Home Affordability Report, the median U.S. home price in the third quarter of 2019 was not affordable for average wage earners in 371 of 498 U.S. counties analyzed in the report (74 percent). The largest populated counties where a median-priced home in the third quarter of 2019 was not affordable for average wage earners included Los Angeles County, CA; Cook County (Chicago), IL; Maricopa County (Phoenix), AZ; San Diego County, CA and Orange County, CA. Those same counties were in the top five in Q2 2019.

Spotlight

Spending growth in 2018 is forecast to be led by select nonresidential and residential segments. Current top-three-performing segments forecast in 2018 include transportation (+10 percent), residential improvements (+9 percent) and office (+9 percent). The bottom-three-performing segments include power (-1 percent), sewage and waste disposal (+1 percent), and religious (+2 percent). Second quarter adjustments indicate several additional stabilizing segments. Newly stabilized segments include commercial and health care, two prior growth segments from Q1; also religious; sewage and waste disposal; and water supply construction; all three of which were previously forecast as down last quarter. Lastly, power was moved from stable to down, and conservation and development was elevated from down to growth, based on reported actuals through Q1.

Spotlight

Spending growth in 2018 is forecast to be led by select nonresidential and residential segments. Current top-three-performing segments forecast in 2018 include transportation (+10 percent), residential improvements (+9 percent) and office (+9 percent). The bottom-three-performing segments include power (-1 percent), sewage and waste disposal (+1 percent), and religious (+2 percent). Second quarter adjustments indicate several additional stabilizing segments. Newly stabilized segments include commercial and health care, two prior growth segments from Q1; also religious; sewage and waste disposal; and water supply construction; all three of which were previously forecast as down last quarter. Lastly, power was moved from stable to down, and conservation and development was elevated from down to growth, based on reported actuals through Q1.

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REAL ESTATE INVESTMENT

HappyCo Acquires Canadian Rental Lifecycle Management Firm Yuhu

HappyCo | November 03, 2022

HappyCo, the leading residential operations platform for real-time rental property data collection and utilization, is acquiring Toronto-based Yuhu, a comprehensive rental lifecycle management platform. Terms of the deal were not disclosed. Yuhu's operations platform is utilized by top property owners and operators such as Boardwalk, CAPREIT, and BentallGreenOak and services over 500,000 prospects and residents across Canada and Europe. "We've known the Yuhu team for quite some time and both companies share a similar culture and common vision to improve the multifamily industry, The merger of our firms broadens our collective impact on the overall resident lifecycle, and will allow us to capture more actionable data, create opportunities to enhance resident experiences, and streamline property operations to ease the daily workload of onsite teams." -HappyCo CEO, Jindou Lee Yuhu's cloud-based software for property owners and managers will be integrated into HappyCo's 'Happy Property Suites' and 'Happy Force' products to offer a complete operations solution for customers and residents. The Yuhu acquisition provides HappyCo with a resident-facing solution that significantly enhances its existing products and offers HappyCo customers a cohesive product that delivers an end-to-end view of the property lifecycle. As part of the acquisition, Yuhu's current employees will join the HappyCo team, including Hugh Kolias, CEO of Yuhu, who will join as EVP. Existing Yuhu customers will benefit from an expanded solutions platform, accelerated product investment, and broader support while enjoying continuity of service. We are thrilled to join forces with Jindou and the HappyCo team to achieve our shared vision to enhance the quality of life for multifamily residents and operators, By bringing our teams and products together, we're able to provide our mutual client-partners with an even better all-around experience,said Kolias. Founded in 2011, HappyCo is the leading source of condition assessments and workflow tools for the multifamily market. Designed to automate, simplify, and protect data collected during residential rental property inspections, the platform has in-unit data on more than 3.5 million multifamily and single-family rental homes – notably one out of every eight professionally managed units in the U.S. The company provides vital underwriting information to lenders, investors, and asset managers, and empowers property managers with real-time operational tools and reporting. In 2021, HappyCo data were relied upon in about 26 percent of all U.S. sales transactions of multifamily units.  HappyCo also serves property managers, offering a complete suite of apps to simplify processes, drive better performance and generate comprehensive views of assets within a portfolio. About HappyCo HappyCo is a real estate software company that develops mobile and cloud solutions to enable real-time operations data for property managers, asset managers, lenders, and investors. Its software suite includes market-leading condition assessment and workflow tools with in-unit data on over 3.5 million rental homes. Founded in 2011 in Adelaide, Australia, the company is privately held with a remote workforce throughout the US, Canada, and Australia. About Yu hu Yuhu Inc. is a cloud-based multifamily operations platform that manages the entire rental lifecycle from lead to renewal. Yuhu's product suite provides onsite teams with a single, comprehensive solution and access to consolidated data insights. Founded in 2015, Yuhu supports over half a million residents, onsite staff, and prospects for its client-partners including Avenue Living, BentallGreenOak, Boardwalk, CAPREIT, Concert, Hollyburn, Campus Living Centers, Westdale, and other leaders in the Canadian multifamily industry.

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REAL ESTATE TECHNOLOGY, REAL ESTATE INVESTMENT

Berkadia Signs Multiyear Agreement With Esusu

Berkadia and Esusu | September 08, 2022

Berkadia announced today that it signed an agreement with Esusu, the leading financial technology company leveraging rental data for credit building. This partnership unlocks greater equity for renters, improves property performance for multifamily owners and operators and reduces lender risk. With a mission to dismantle barriers to housing for working families, Esusu reports on-time rent payments to the three major credit bureaus, Equifax, Transunion, and Experian, to establish and boost credit scores for residents. The collaboration, which launched in the Spring of 2021, has expanded to over 34,000 units, establishing over 5,300 credit scores for residents to date. “We could not be happier to have a multi-year agreement with Esusu, which allows Berkadia to extend a powerful property performance enhancing solution to our clients, This will help owners and operators reach their own ESG goals at an exceptional value and support Esusu’s critical and innovative objective–helping renters build and improve their credit.” -Bryce Nyberg, Director of Berkadia Digital Partnering to Provide Value and Solutions Seeing the value Esusu could bring to the entire residential ecosystem, a partnership was formed when Esusu joined Berkadia’s inaugural BeEngaged program in February 2020. The partnership has proven to be mutually beneficial and has helped Berkadia develop a competitive advantage as an attractive funding source to owners and operators who value Esusu as both an economic and social solution. Through Berkadia’s introduction, Esusu services over 285 properties across more than 10 management companies including Burbank Housing, Comunidad, Eagle Property Capital, Morgan Properties, Odin Properties and more. As a workforce housing provider operating primarily in the inner city, Odin Properties has long been focused on supporting quality of life for our residents, In Esusu, we found a solution and a team that helped further that goal by allowing residents unprecedented access to the financial system, while improving property performance. It has been encouraging to see Esusu grow as their message rightfully resonates with so many different housing stakeholders,said Phil Balderston, Founder & CEO of Odin Properties LLC. Supporting an Equitable Housing Market Throughout the partnership, there has been growing industry awareness around the criticality of equity in multifamily housing. This was further emphasized when Esusu announced a collaboration with Freddie Mac. Through their joint initiative in support of increasing equitability in the housing market, Freddie Mac provides closing cost credits to multifamily borrowers who agree to use Esusu to report on-time rental payments. Esusu also provides discounted pricing for these and other Freddie Mac borrowers who agree to report on-time rental payments through the platform. Our credit building initiative has helped build or establish credit scores for tens of thousands of multifamily renters nationwide, It is an essential component of our effort to build a more equitable multifamily housing system,said Corey Aber, Vice President of Mission, Policy and Strategy for Freddie Mac Multifamily. Utilizing Real-Time Data for Returns Esusu not only improves the quality of life for residents but also helps properties maximize net operating income (NOI). 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About BeEngaged Launched in 2019, the BeEngaged program advises and accelerates startups that are redefining the commercial real estate industry by providing them with resources, strategic counsel, and a collaborative network to test and grow innovative concepts. Since then, the organization has accelerated more than a dozen CRE tech startups, including Esusu. BeEngaged features three stages to foster innovation and collaboration across the commercial real estate industry: BeEngaged Network®, Verified Status, and the BeEngaged Lab®. The BeEngaged Network® develops an ecosystem of founders, industry professionals, and capital providers dedicated to redefining the commercial real estate space. Companies participating in the BeEngaged Network® that have proven potential for long-term growth and industry transformation can be invited to seek Verified Status (VP). This stage provides company founders with focused mentorship for validating strategic alignment to participants of the BeEngaged ecosystem through experiments and pilots. Successful VP companies are invited to join BeEngaged Lab®, which is a catalyst for founders and Berkadia to collaborate on long-term initiatives. About Berkadia® Berkadia, a joint venture of Berkshire Hathaway and Jefferies Financial Group, is a leader in the commercial real estate industry, offering a robust suite of services to our multifamily and commercial property clients. Through our integrated mortgage banking, investment sales and servicing platform, Berkadia delivers comprehensive real estate solutions for the entire life cycle of our clients’ assets. About Esusu Esusu is the leading financial technology platform that leverages data solutions to empower residents and improve property performance. 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REAL ESTATE INVESTMENT

REZI Launches in Austin with Rastegar Partnership

REZI | September 26, 2022

REZI, the pioneer of Occupancy-as-a-Service, has launched in Austin with a partnership with the city's leading developer, Rastegar Property Company. Rastegar is a technology-enabled private real estate investment firm focused on value-add and development in all asset classes throughout Austin and the Southwest US. The partnership between REZI and Rastegar was announced today by Sean Mitchell, Co-Founder and CEO of REZI. This deal contracts over 200 apartments across 9 buildings with floor plans ranging from studios to 3-bedrooms in West Lake Hills, Mueller, Hyde Park, Highland Heights, Clarksville, South Austin. All units will be onboarded to REZI's innovative AI-powered leasing platform, where REZI will take ownership over all marketing and leasing providing Rastegar with a turnkey guaranteed leasing solution delivering higher asset NOIs across their portfolio. "We are thrilled to be partnering with the "King of Austin Real Estate" not only because Austin is a key market for us, but Rastegar and REZI share the mission of using technology and innovation to make finding and acquiring housing fair, transparent, and accessible for everyone," - Mitchell,Co-Founder and CEO of REZI We were immediately impressed with REZI and what they have provided the previous markets in which they've launched, In just a few years, they have become a highly reputable brand with nationwide outreach and a service that aligns perfectly with our needs and philosophy,said Ari Rastegar, Founder & CEO of Rastegar Property Company. The announcement of this partnership coincides with REZI's launch of their Texas Headquarters at 1920 Mckinney Ave in Uptown, Dallas. About REZI Founded in 2016, REZI leverages state-of-the-art leasing and financial technology to improve and optimize renters' leasing experience and improve property owners' leasing performance. REZI is a privately held company based in New York City. About Rastegar Property Company Rastegar Property Company is a technology-enabled private real estate investment firm focused on value-add and development in all asset classes throughout Austin and the southwest United States. Rastegar and its affiliates have co-invested in or directly own and operate over 13.8 million square feet of real estate across projects in 13 states and 35 cities. The firm specializes in acquiring complex or undervalued assets with opportunities to create value through repositioning, redevelopment, and/or improved operational efficiencies.

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