On this episode of MULTIFAMILY AP360, host Rama Krishna Chunchu sits down with Neal Bawa to discuss what has changed most in multifamily investing since their earlier conversations. Neal explains why supply and interest rates now outweigh many of the demographic indicators he once prioritized, and how AI is giving operators new ways to track permits, underwrite deals, measure leasing performance, and automate property operations. He also shares his cautious outlook on rent growth and cap-rate compression, while explaining why operators need better data and more realistic underwriting in today’s market. Neal Bawas Multifamily Insights…
Key Takeaways:
- 📊 Supply has become a major market driver. Neal now gives incoming multifamily supply and interest rates more weight than he did in 2022 and 2024.
- 🤖 AI can make property operations measurable. Neal’s team uses AI to evaluate lead response times, follow-up activity, and leasing performance instead of relying only on conventional reporting.
- 🏗️ Local permit data deserves closer attention. Neal is building tools that gather public permit data directly so his team can get a more current view of incoming supply.
- 🧮 Underwriting assumptions need to reflect today’s conditions. Neal is cautious about assuming strong rent growth or future cap-rate compression when current data does not support those assumptions.
- ⚙️ AI-first means changing workflows, not simply using a chatbot. Neal describes running company processes through AI and tying employee goals to practical AI adoption.
