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Multifamily Units Ease Pressure on Greenville's Housing Market

Greenville is one of the fastest-growing communities in South Carolina. With a population that has increased by more than 60% since 2010, it's no wonder why developers and investors are looking for ways to provide housing options to meet the demand. Increasing the number of rental units helps maintain enough housing in Greenville for those who cannot afford to buy a home. Here is how multifamily units ease pressure on Greenville's housing market.

1. Lowers the Price of Housing

Renting an apartment is more affordable than purchasing a house. Greenville has one of the highest rental rates in South Carolina, according to RentRange. Although prices have been declining from their peak of $1,200 per unit in 2014, average rental rates are still high at $867 per month.

When more people are looking to rent than there are apartments available, landlords can raise the prices of their units. However, when new construction or existing multifamily units like townhomes and apartment complexes are converted into rental units, supply increases to meet demand. With an increase in supply, property managers and landlords will not raise their prices as much.

2. Eases Traffic Congestion

The last thing people want is to sit in traffic when they could be spending that time doing something more productive, like sleeping or working at home. Traffic congestion in Greenville is getting worse. With an estimated population of more than a million by 2045, more drivers will be on the road, making for longer rush hours and heavier traffic.

With rental units being added all over Greenville, adding hundreds of additional cars to existing roads will mean that property owners need to invest in additional infrastructure improvements, such as widening roads or adding new ones altogether. This is a much more cost-effective option than building new roads and will be less disruptive to the community.

3. Provides More Affordable Housing Options

There isn't enough affordable housing for all of Greenville's renters, but rental units offer a more affordable choice for those with limited incomes. According to the latest census data, over 20% of residents in Greenville live below the poverty line. Unfortunately, this has led to a growing number of homeless families in Greenville.

Transitioning existing multifamily units into affordable rentals is a more cost-effective solution that will provide housing options for people with limited incomes. Not only do these units have lower monthly rents, but they are also already equipped with appliances and other necessities that will ensure better living conditions for families.

4. Encourages Long-Term Owner Occupancy

When more people are renting rather than buying, you'll have people staying in their homes longer. With a growing population of renters, the need for large apartment complexes is increasing as well. One way to meet the demand and encourage long-term owner occupancy is to convert existing single-family homes into multifamily units.

By converting many single-family homes into townhomes or apartments, it means that instead of selling their home and moving out of the neighborhood, property owners will be able to rent out a unit in their home while still living there. This way, they can continue to live in the neighborhood even after people have purchased their house.

In conclusion, more rental units in Greenville will help ease housing demands, increase affordable options for residents, and provide a more sustainable solution for existing neighborhoods.

Sources

http://www.greenvilleonline.com/story/news/local/2015/08/26/affordable-housing-gaps-remain-strategies-differ/32486361/ 

http://quickfacts.census.gov/qfd/states/37/37157