The 30-year fixed-rate mortgage averaged 5.55% as of Aug. 25, according to data released Thursday by Freddie Mac. It marks a 42 basis points increase from the previous week. Apartment operators are smiling.

Jay Lybik, National Director of Multifamily Analytics at CoStar Group, tells GlobeSt.com, "The single-family housing market in 2022 has seen rising mortgage rates that have significantly increased the monthly mortgage payments for newly purchased homes and the possibility of home prices peaking has created high housing uncertainty thus placing some potential home buyers on the sidelines.

"Multifamily demand has benefited from this uncertainty, as households that would have made the transition from renting to owning have been unable to find a home to purchase and now may not qualify. Additionally, some other renter households are afraid to commit to buying for fear of buying at the top of the market. Overall, housing uncertainty creates a positive for multifamily demand in the short run."