MB514: 6 Big Lessons from the Last 30 Days

Show Notes

Over the past 30 days, I’ve had more clarity about the market, and about business, than I’ve had in a long time.

Between attending conferences, meeting operators, experimenting with AI, and reflecting on personal priorities, I've learned and realized several things. Some of them are about the multifamily cycle. The multifamily market appears to be at or near the bottom of the cycle, lending conditions are slowly improving, and new construction has slowed dramatically, which could set up stronger rent growth over the next few years.

Others are about where the world is heading and how we operate as investors and entrepreneurs. I discuss why investors should pay attention to opportunities outside multifamily, why relationships and community matter more than ever, and how AI tools are already changing the way businesses are built and operated. These insights can help you think more clearly about where the market is going and how to position yourself for the next cycle.

Key Takeaways

The Multifamily Market May Be Near the Bottom

Many analysts now believe the multifamily market cycle is close to its bottom after several years of price and rent pressure.
Interest rates have stabilized, which is improving loan terms and allowing lenders to increase leverage again.
Transaction volume is starting to rise as distressed owners and lenders push deals back to market.
If rents begin rising again in 2026, that could set the stage for stronger growth heading into 2027.

Rent Growth Depends on Supply Absorption

A large wave of new Class A apartments created rent pressure across many markets in the past two years.
Many of those buildings are still offering concessions while occupancy moves toward the 90% percent range.
Once those properties fill up, concessions will likely disappear and rents should begin rising again.
New construction permits have dropped more than 50 percent, which limits future supply.
With less development coming online, existing properties may benefit as demand continues.

Investors Should Look Beyond Multifamily

Multifamily remains a strong asset class, but no single investment works in every market cycle.
At recent conferences many investors showed interest in real estate debt, preferred equity, and non real estate investments.
Some operators are now exploring acquisitions of operating businesses such as home service companies.
Diversifying across asset classes can reduce risk and create additional opportunities during slower cycles.

Networking Still Creates Real Opportunities

Getting out of the house and attending events can lead to conversations that open new doors.
Many valuable connections happen in casual settings such as meals or informal meetings.
Short 15 minute check in calls can be an effective way to maintain relationships over time.
Consistent networking keeps deals, partnerships, and opportunities flowing.

Your Most Important Investment Is Relationships

Business success often depends on the strength of your relationships with family, partners, and close friends.
Scheduling regular time with the people closest to you helps keep those relationships strong.
Productivity and fulfillment both improve when your personal life is healthy.
Strong relationships create long term stability that no financial investment can replace.

AI Is About to Change How Businesses Operate

Modern AI tools allow people to build financial models, software, and automation using simple prompts.
Tasks that once took hours of technical work can now be done in minutes with the right tools.
Entrepreneurs who learn to use AI effectively will gain a major productivity advantage.
Even non technical users can now create complex tools by simply describing what they want.