Residential REITs are the second-largest sub-sector within the FTSE NAREIT Index with a market cap of over $159 billion, of which Apartment REITs make up $121 billion, Manufactured Homes make up $19.5 billion, and Single-Family Home REITs make up $18.8 billion.
There are 22 Residential REITs that make up the sub-sector with 15 Apartment REITs, 3 Manufactured Home REITs, and 4 Single-Family Home REITs.
Our opinion on the sector is that it will benefit from the trend towards postponing of homeownership and to wage increases that have allowed for considerable rental rate growth. Lifestyle trends