Multifamily deals offered with pre-existing loans and attractive interest rates will be most favored in the coming months as the inflationary environment heats up – and stabilized properties will be in even greater demand as they can provide higher returns and more certainty, according to one industry veteran.

Otto Ozen, Executive Vice President of The Mogharebi Group, says the asset class will continue to be an attractive inflation hedge: it's historically outperformed other asset classes from a yield perspective, and as the costs of homeownership continue to be staggeringly out of reach for many would-be buyers, demand drivers remain strong.

"As mortgage rates rise, the affordability gap widens, increasing the barriers of entry for home buyers and subsequently pushing them towards renting," he says. "This shift will provide a strong rental market allowing rental rate growth to outpace inflation."

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