How Did We Get Here?
It’s no secret that the U.S. is in the midst of an unprecedented housing shortage–an issue years in the making that can be traced back to the market crash of 2008. When the housing bubble burst, prices tumbled and millions of properties were forced into foreclosure. As a result, new construction all but came to a halt. Although production gradually ramped back up, we’re still very much playing catch-up today.
Due to a severe lack of affordable homes and steadily rising interest rates, people have flocked to renting–in fact, most of today’s Millennials are renters. In addition, many of these renters are staying put, as can be seen in today’s rental vacancy rates, which are at near 40-year lows. Apartments simply aren’t being built fast enough to keep up with soaring demand–and supply shortages, high material costs, and convoluted construction processes are making it even harder to get projects completed on time. These supply issues are especially apparent in large metropolitan areas like Chicago, where a potential shortage of 10,000 units is anticipated for 2022.
Supplying a Solution
Built is looking to help close the apartment deficit gap by providing lenders with the tools to increase efficiencies in their Construction Loan Administration (CLA) process–allowing jobs to get done quicker. Using Built’s digital draw management tools, lenders have seen an astounding 85% reduction in average funding turnaround time–resulting in residential units being completed over 2.5 months sooner. But that’s not all–Built also allows lenders to request and upload compliance documents, simplify inspections, and actively manage title needs.
Together, we can solve the apartment shortage problem. Click here to learn more about how Built can help increase efficiencies in your CLA processes and allow your borrowers to build faster.