Why are people building multifamilies?

[Josh Huber]

Being new to the REI world, I've been searching solely for existing multifamily properties. But with new multifamilies properties being constructed like crazy in my area (Ohio), I cant help but wonder; why? Traditionally, isn't there more ROI in purchasing existing multifamilies rather than constructing new ones? With the demand in construction services across the industry (businesses, single families, multifamilies, etc) being so high, how are people that're investing in new multi-families making money?

-Josh