"The one thing we're fighting right now is underwriting," Moyertold a meeting of the Real Estate Investment Association. "Thelenders have become more conservative about current rents andexpenses, especially fuel bills."
Lenders, buyers and entrepreneurs also are concerned aboutleasing velocity, Moyer says, even though the vacancy rate acrossthe market continues to hover around historic lows. Interest ratesalso are in the 7% range, though Moyer says he's noticed a bit of arise over the last 90 days.
However, supply and demand continues working in multifamilyproperty owners' favor. "There are a lot of reasons to buyChicago," Moyer says. "Tenants have no where to go. When you givethem a $75-a-month rent increase in Lakeview, they have no place togo."
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