Multifamily Construction Sentiment Showed Improvement in Third Quarter
Confidence in the market for new multifamily housing increased in the third quarter, according to results from the Multifamily Market Survey (MMS) released by the National Association of Home Builders (NAHB). The MMS produces two separate indices. The Multifamily Production Index (MPI) rose 11 points to 48 compared to the previous quarter. Meanwhile, the Multifamily Vacancy Index (MVI) decreased 18 points to 44, with smaller numbers indicating fewer vacancies.
The MPI measures builder and developer sentiment about current conditions in the apartment and condo market on a scale of 0 to 100. The index and all of its components are scaled so that a number below 50 indicates that more respondents report conditions are getting worse than report conditions are improving.