fbpx

DFW Sees Surge in Interest for New Housing Concept  

DFW Sees Surge in Interest for New Housing Concept  
Homes in a neighborhood | Image by Shutterstock

A new housing concept is popping up across North Texas, giving more choices to those stuck between buying a home and renting an apartment.

Avilla Homes and NexMetro are among the companies behind the new “build-to-rent housing” (BTR) concept.

BTR homes are detached housing units built specifically for the purpose of becoming long-term rentals, typically maintained by large companies rather than individuals. Centralized together in neighborhoods, they are designed for renters who desire a sense of community and a modern living space without the substantial down payment and maintenance costs involved in home ownership.

The concept includes a community of cottage-style homes with apartment-like amenities such as a pool and on-site maintenance. For renters who have grown tired of living in traditional apartment buildings or complexes, the build-for-rent housing communities could be a good fit.

“It’s relatively new, but I think it’s here to stay in lots of markets,” said Josh Eadie, VP of development for NexMetro. “There’s been an anti-apartment movement. It’s been well received so far.”

BTR is “the hottest trend in residential living,” according to residential search portal RentCafe. Nationally, 6,740 BTRs were completed last year; nearly 14,000 BTR homes are currently under construction.

In the Dallas area, that number was 4,290 at the start of the year, making it the third-most-popular market for the rent-a-home concept, according to RentCafe’s analysis of Yardi Matrix data.

“There is a misconception that the majority of renters are Millennials when, in reality, you have everyone — including college students, empty nesters, families with kids, pet owners, and those wanting to downsize,” said Shannon Hersker of commercial real estate lender Walker & Dunlop.

Raising a family in a cramped apartment wasn’t ideal for Stephanie Sims. Instead, she opted to live in a BTR home.

“It started to get really cramped,” Sims said. “We just needed that extra space a home provides.”

She added, “In our last apartments, there was always somebody on top making a bunch of noise.”

Sims now lives in a community of one-, two-, and three-bedroom homes, free of shared walls, that, like apartments, are all for rent. Sim says it is a way of living that works for her and her family.

While BTRs work for some, the concept comes with several drawbacks. Some of the disadvantages of build-to-rent homes include steeper rent than typical apartments, higher cost relative to homeownership, small size, lack of personalization, and lack of freedom to remodel, according to Rocket Mortgage.

Support our non-profit journalism

2 Comments

  1. Vanessa

    Not a surprise, just part of the socialist agenda “No Individual Owners” ever!!! Only the gov and large conglomerates.
    BlackRock and others. Be sharp and ever vigilant

    Reply
  2. Pilot

    There goes the neighborhood!

    Reply

Submit a Comment

Your email address will not be published. Required fields are marked *

Continue reading on the app
Expand article