FHFA Boosts Multifamily Confidence

Unveiling the Market's Secrets from Behind the Scenes

November 28, 2025

 

📩 Was this forwarded? Join for future investigations, Sign Up Here

"The FHFA announcement is welcome news for the rental housing industry, indicating an intensifying focus on housing affordability across the Trump administration, increased access to capital for buyers and owners looking to refinance and broader optimism about market conditions in 2026. In addition, the multifamily market is facing close to $90 billion in maturing debt in 2026, with a significant portion of that debt originated in a lower-rate environment [sub-5% rates]. The maturing debt is also held in larger share by banks, CMBS and non-bank lenders, which may be more conservative in 2026, positioning Fannie and Freddie as stronger alternatives for investors looking to refinance.”

- B. George Ratiu, Vice President, Research at National Apartment Association

Recent Multifamily Sales (Click to view details)

Recent Multifamily Loans (Click to view details)

Question:

How does the "1% Rule" apply to evaluating multifamily properties?

Answer:

The 1% Rule is a quick screening tool investors use to estimate whether a multifamily property might generate enough rental income to justify its purchase price. According to the rule, a property is considered potentially profitable if its monthly gross rent is at least 1% of the total acquisition cost (purchase price plus any immediate repairs). For example, if a four-unit building costs $500,000, the combined monthly rents should ideally be $5,000 or more. This rule helps investors quickly filter deals before diving into deeper financial analysis.

🕵️🔎Want to get your question answered? Click here to submit your question

Laskhman Achuthan: Inflation Cycles Amid Regime Change

MacroVoices Erik Townsend & Patrick Ceresna welcome, Lakshman Achuthan. They’ll discuss all things cycles, from the current outlook on growth and inflation cycles to how cycles in general perform in times like these when big political and geopolitical headlines are driving markets.

Quiz of The Week

How is the “1% Rule” used when evaluating multifamily properties?

a. To determine the exact long-term appreciation of a property

b. To check if the monthly rent is at least 1% of the property’s total cost

c. To calculate the final net operating income (NOI)

ʇsoɔ lɐʇoʇ s’ʎʇᴉɹdoɹd ǝɥʇ fo %Ɩ ʇɐǝl ʇsǝǝɯ ʎllɐɯ ʎʇuǝɹ ɟI .q

Random Tip of the Week

💰 Use the 1% Rule Only as a First Filter – Quickly screen multifamily deals by checking if monthly rents equal at least 1% of the property’s cost, but always follow up with full financial analysis to verify true cash flow and performance.

Current Rates (Weekly Update)

10-Year Treasury - 4.00% (⬇️.12%)

Fed Funds Rate - 3.88% (0%)

1-Month Term SOFR - 3.91% (⬇️.04%)

About Nuvo Capital Partners

Nuvo Capital Partners is a niche market-focused multifamily investment platform operating throughout the Southeastern United States. As a dedicated sponsor (General Partner), we specialize in institutional quality real estate investments within these regions. Our team comprises industry professionals with 25+ years of combined experience, ensuring expertise and market knowledge. We pride ourselves on offering a transparent investment process, providing our investors with access to high-quality real estate opportunities while upholding integrity throughout.

📩 Was this forwarded? Join for future investigations, Sign Up Here