If illegal immigration causes a surge in housing costs - the opposite might be true on deportations.

 

A recent federal reserve study suggested in its reports findings that the surge in illegal imigratrion caused an increase in home prices and rent rates between 2021 and 2024.

They stated:

"A 1% increase in unauthorized workers raised US home prices by roughly 2.2% and rents by 1.4%"

So not all of the rent and housing increases can be tied to this migration issue - but it is/was measurable enought that as a property manager we may be seeing a softening in rent rates as deportations also take effect.  It makes sense on paper.  Influx in - rates go up.  Influx out - rates go down.  I think there is also a trend of Gen Z'rs living longer in their parents basement that also entered the housing market contributing to an increase in costs/occupancies.

As an owner of a rental property it might do well over the next 12-24 months to try to keep existing tenants in the home vs. having a move out to keep rents where they are rather than lowering them.