New York apartments with fire escapes

The Freddie Mac Apartment Investment Market Index fell 3.4% year-over-year in Q1 despite strong fundamentals.

The index tracks 13 markets across the nation, aggregating employment data, permitting data, net operating income data and property price data to come up with a score that captures the investment climate in the multifamily market.

According to the index breakdown, the downturn is largely due to rising property price growth, which is pushing down returns-on-investment.

Of the 13 markets, property prices rose in 10 of them. Rising interest rates are putting additional pressure on prices and also contributing…