The Midwest apartment market never seems to grab the headlines, but it displays strong operating fundamentals and attracts investors with cap rates that pave the way for nice returns.

Fannie Mae and Freddie Mac held 37 percent ($467 billion) of all mortgages on multifamily properties outstanding as of Sept. 30, 2017, according the Federal Reserve data.

In fact, most of the growth has taken place in suburban submarkets.

It seems like building more housing is worth trying, for anyone worried about the exodus of low-income residents and disadvantaged minorities from the city.

Developers are making room for amenities like dog runs and swimming pools—sometimes on the rooftops of urban high-rise towers.

Puerto Rico-based family office Grupo Ferré Rangel recently formed a wholly-owned subsidiary to invest in multifamily properties in the U.S.

While sentiment has dampened slightly, investors still prefer apartments over other commercial real estate property types.

The House plan would damage the most important program for new affordable development, the federal low-income housing tax credit.