Due to the continuing structural undersupply of rental housing and strong market fundamentals, and with the pipeline of new deliveries slowing in 2024 and 2025, now is a good time to be planning new multifamily and build-for-rent units for the 2024 to 2025 timeframe. The consumer research data included in RCLCO’s 2023 Renter Consumer Preferences Report is intended to provide insights regarding who renters are and what they’re looking for in new rental housing.
Despite media and government policy concentration on homeowners, more than 34% of the US population are renters, and there is a dearth of information about the needs and preferences of this expanding segment of the American population. We have seen a significant building boom in the multifamily segment (particularly the luxury market) over the past two decades, but the survey indicates that there is a potential unmet demand for single-family rentals. As homeownership has grown less affordable, single-family build-for-rent product types have increasingly been developed to meet the evolving preferences of renters. Approximately 6.9% of new single-family starts were Build-for-Rent in 2022, a share that is increasing upwards.
This research report by RCLCO provides an in-depth look at what rental households are seeking in their ideal residence – and the motivating factors and preferences for groups seeking three major rental housing types – including multifamily, small single-family, and large single-family rental housing. We also delve into how preferences vary by life stage, or by renters seeking niche products such as 55+ rentals or luxury apartments.