A new study from RealPage reveals that renters will pay higher rents for modern conveniences and efficiencies and a moving and rent-pay process as easy as ordering from Amazon.
The 2,000 U.S. participants in RealPage’s second annual National Multifamily Renter Study are current multifamily renters, aged 18-55, whose expectations of the living experience have shifted, thanks to accelerated technology options and more hours spent at home since the pandemic. The respondents represent a mix of genders, household incomes and regions.
The survey revealed a number of discoveries and shined a light on the fact that the apartment industry has not caught up to residents’ changing expectations, especially when renters hold greater bargaining power with more choices today. This is especially important as rents flatten and apartment supply grows, said RealPage.
The responses of the participants provide property managers and owners with a unique look into renters’ struggles, realities and sentiments, from the personal and economic hardships of renting to the desire for customer-centric engagement with their property manager, said RealPage.
The report is divided into five sections that delve into the data and findings of the study. The first discovery is that 97 percent of respondents said they would stay in their unit longer if their property manager offered improved services and a modern tech experience, instead of the unreliable responsiveness and staff inefficiencies many reported experiencing.
The second is that 90 percent of renters surveyed report difficulties during a recent move and many listed moving as one of the most stressful events of their life. They said they are more likely to consider renting at a community whose property management team offers services that simplify all aspects of moving, including help setting up internet and utilities, finding a local mover and setting up and offering a variety of rent payment plans. Below are the challenges renters reported during a recent move.
Another stressful aspect of moving revealed by the survey is the expense. Renters on average said they spent nearly $6,500 on their last move and those with household incomes of $150,000 or more spent as much as $15,000. The graph below shows the typical expenses of a move to a new apartment.
Respondents said they value a manager who helps them set up payment plans that fit their budget and offer loyalty points for rent payments. Renters were specific as to what they would like to redeem loyalty points for. The top categories are future rent payments, groceries, personal care and restaurants.
There is more to be gleaned from the report, but in summary, it demonstrates how property management companies can address renters’ sentiments and gain a competitive edge by offering residents a seamless, end-to-end experience that removes obstacles, improves operational efficiency and drives higher renewal rates.
The entire 2024 National Multifamily Renter Study, conducted by Dimensional Research and presented during the RealWorld conference, is available here.
