Investment Rent Growth Projections in the Current Economy

Hey everybody. I'm just waiting for my kids to get out of school and I wanted to do a quick video just to share some thoughts on rent growth when we are underwriting properties. So typically in the submarket or this market we're in Now, I do 2 to 3% rent grows 2% year 1, 3% years, 2 to 5 previous years, I mean, it could have been a lot more, six, eight, you know, upwards of 10% and earlier years of the investment and then leveling out around that 2 to 3%. But one thing we're still seeing though, even though on the underwriting it's that 2 to 3%, we're still seeing 10% plus rent growth in our properties. And the biggest thing is we're buying properties that are way below market in the first place from a rent standpoint. Right? So once we go in and renovate, add better management, really just make it a better community, we're able to push rents a lot higher because the base rents that they initially had are a lot less than what the market is. So when you hear traffic on the social media, etc. That rent growths aren't happening the way they were. That's true, but it's also case by case basis on what the property was at pre purchase and where the market is now after renovations, etc. So we're still seeing great rent growth. Obviously, we're staying true to being a good owner and taking care of our residents through renovations, good customer service, et cetera. I just want to give you some thoughts on what I'm seeing in the market, especially at the properties we own.