RCLCO 2023 Renter Consumer Preference Survey

RCLCO is Excited to Announce a New In-Depth National Research Report on the Consumer Preference of Renters

In the 2023 Renter Consumer Preference Survey Report, RCLCO shares data from a comprehensive national survey, conducted in late 2022, that illuminates the motivations, product type preferences, and locational considerations that are driving today’s renters of both multifamily and single-family product.

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.

Sample Report Spreads

This 58-page report offers an overview of the national rental market and the shifting consumer preferences of this population, including:

• How household age, income, and life stage influence the rent vs own decision
• What renters of different demographic groups consider to be the ideal rental unit configuration
• What factors are motivating the decision to rent, and what location types are most highly valued
• The amenities and features that renters value most – and the ones that they are willing to pay a premium for
• How the rise of work from home has impacted the preferences of the rental population
• Which decision factors and preferences are consistent across household types, and which are prioritized most by younger, older, or family renters

…and more

5 Featured Findings

1. The finding from this research was that while only 40% of respondents in RCLCO’s recent renter survey currently live in a single family detached unit or a townhouse, 51% say their ideal rental unit type is a single-family home and 21% prefer a townhouse or duplex – 72% overall. Whether or not these renters can find and afford a lower density rental home in their market is of course a challenge to them realizing that preference, but clearly there is strong interest.

2. Closets and Kitchens have the most impact in terms of a modern multifamily renter’s willingness to pay more for a luxury unit. Interestingly finish preferences did not vary dramatically even for those with higher income levels.

3. Secure package receiving options are the #1 ranked amenity by young singles, couples, and roommates under age 55, as the popularity of online shopping continues to rise.

4. If you are a developer targeting a significant share of family renters, it may make sense to forgo development dollars spent on a business center, dog wash, and media/game room – as those ranked lowest on this segment’s priority list.

5. 62% of renters who are 55+ prefer either an age-restricted or an age-targeted community, with many mature renters.