Housing Market Crisis Creates Opportunities for Apartment Investors
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 25 2025
0mins
Source: Benzinga
- Rental Market Opportunity: According to Stifel, the gap between buying and renting has widened to historic levels, necessitating a 24% drop in home prices to compete with rents, which has created a 'captive audience' of renters, elevating apartment REITs to an 'Overweight' status.
- Supply Crunch: Apartment deliveries are projected to fall to approximately 243,000 units by 2026, significantly below the post-2000 long-term average of 285,000 units, which is expected to enhance landlords' pricing power amid steady demand from priced-out buyers.
- Rent Increase Forecast: Redfin anticipates that rents will rise by 2% to 3% nationwide in 2026, forcing many young families and Gen Z individuals to continue renting and delay homeownership plans, thereby sustaining demand in the rental market.
- Investment Value Resurgence: Apartment REITs are currently trading at a multiple of 15.3x, significantly lower than the 10-year average of 19.2x, positioning major players like Camden Property Trust to benefit from stabilized property values and making them attractive contrarian value plays for investors.
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Analyst Views on CPT
Wall Street analysts forecast CPT stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CPT is 130.12 USD with a low forecast of 118.00 USD and a high forecast of 144.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
16 Analyst Rating
8 Buy
7 Hold
1 Sell
Moderate Buy
Current: 107.220
Low
118.00
Averages
130.12
High
144.00
Current: 107.220
Low
118.00
Averages
130.12
High
144.00
About CPT
Camden Property Trust is a real estate investment trust (REIT). The Company and its subsidiaries are primarily engaged in the ownership, management, development, reposition, redevelopment, acquisition, and construction of multifamily apartment communities. It owns and operates approximately 175 properties containing 59,210 apartment homes across the United States. It has three properties under development and will consist of a total of 60,348 apartment homes. Its properties typically consist of mid-rise buildings or two-and three-story buildings in a landscaped setting, as well as high-rise buildings, and provide residents with a variety of amenities common to multifamily rental properties. The Company's properties include Camden Chandler, Camden Copper Square, Camden Foothills, Camden Legacy, and others. Its properties are located in Arizona, California, Colorado, Washington District of Columbia (DC) Metro, Florida and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Camden Property Trust Announces 2025 Distribution Tax Characteristics
- Distribution Tax Information: Camden Property Trust has released the tax characteristics of its 2025 distributions to assist banks and brokerage firms in providing 1099 forms to clients, ensuring compliance and transparency.
- Dividend Details: The total distribution per share for 2025 is $1.05, which includes $0.939451 in ordinary taxable dividends and $0.110549 in long-term capital gains, indicating the company's stable cash flow and profitability.
- Future Outlook: Camden plans to increase its total apartment count to 59,921 across 175 properties upon completion of three ongoing developments, demonstrating the company's continued expansion and growth potential in the multifamily housing market.
- Industry Recognition: Camden has been recognized as one of the “100 Best Companies to Work For®” by Fortune magazine for 18 consecutive years, most recently ranking #18, reflecting its strong corporate culture and employee satisfaction, which aids in attracting and retaining talent.
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Camden Property Trust (CPT) Announces 2025 Distribution Tax Characteristics
- Distribution Tax Information: Camden Property Trust has announced the tax characteristics of its 2025 distributions to assist banks and brokerage firms in providing Form 1099 to shareholders, ensuring compliance and transparency.
- Dividend Details: The total distribution per share for 2025 is set at $1.05, which includes $0.939451 in ordinary taxable dividends and $0.110549 in long-term capital gains, indicating the company's stable cash flow and profitability.
- Future Outlook: Camden anticipates that upon completing three properties currently under development, its total apartment count will rise to 59,921, further enhancing its market position and revenue potential.
- Industry Recognition: Camden has been recognized as one of the “100 Best Companies to Work For” by Fortune magazine for 18 consecutive years, most recently ranking #18, reflecting its strong corporate culture and employee satisfaction.
Continue Reading