2024 Landlord Review: Trends and Stats for the Year

As 2024 wraps up, it's time to take a closer look at the trends, shifts, and standout moments that have shaped the multifamily market this year. From evolving renter preferences to economic pressures, it's been a year full of change and new opportunities. Let’s dive into the highlights that defined the market in 2024—and give you the insights you need to stay ahead in 2025.

❖Targeted Marketing

Gen Z Renters

According to Multifamily Executive, Generation Z now makes up one in four renters in the United States, becoming the second-largest demographic of renters after millennials, who represent nearly a third of all renters. By 2030, Generation Z is expected to surpass millennials, emerging as the largest renter demographic. This generation values personalization and understands their unique needs so it will be key to consider their lifestyles and preferences for attracting them as renters. 

Emphasis on Technology 

Being the first digitally native generation, they place a high emphasis on technology since it’s used heavily in both their professional (working both remote and hybrid) and personal lives — spending on average 6.5 hours per day on their smartphones. High-speed internet is not only expected, but is a non-negotiable amenity.  According to a 2024 RentCafe study:

• Most Important Apartment Amenities

  • garage/parking (60%).

  • high-speed internet access (57%).

• Most Important Community Features:  

  • The option to submit rent payments & maintenance requests online (78%).

  • A mobile app for managing their rent and maintenance (53%). 

Affordability over Location 

Since the pandemic with the onset of hybrid and remote work opportunities, Gen Z renters are expanding location options and are not as interested in living in expensive urban downtowns as seen in prior generations. Price is the number one deciding factor for Gen Zs when choosing an apartment (84%) — “we know that Gen Zers are looking for big-city life, but they’re not looking for those big costs that come with it” says Jonah Stillman, co-founder of GenGuru. This indicates that Gen Z renters are seeking out more budget-friendly options in less expensive neighborhoods while still desiring access to urban amenities and lifestyle. 

Catering Amenities by Location

In 2024, there has been a surge in the development of higher end Class A-type luxury apartments. As luxury rental buildings adapt their amenities to meet regional demands, it’s increasingly clear that tailoring offerings to the local market is essential for remaining competitive in the evolving rental landscape. Over the past decade, apartment amenities have evolved from basic features to a full luxury suite of offerings, allowing properties to stand out and attract renters, though preferences and willingness to pay vary by city.

Renters still prioritize basic amenities like in-unit laundry, upgraded kitchens, and parking, but lifestyle-oriented features can be a key deciding factor. Across the country, some buildings are adding unique spaces, such as Lendlease's Cascade building in Chicago, which includes a soundproof "jam room" and a maker space for crafting. Fitness options have also evolved, with many complexes now offering boutique studios, wellness areas with saunas or cold plunges, and even indoor-outdoor gyms in warmer climates. Outdoor space remains highly sought after, though its design varies: in Florida, properties often feature pools, lounges, and bars, while in cities like Boston and New York, smaller, terraced spaces are more common due to cost and space constraints. By recognizing regional preferences, property owners can tailor amenities to meet local demand and differentiate themselves in a competitive market. Tailoring features to align with both location and demographic needs will boost renter satisfaction, drive higher demand, and improve retention.

Sustainability & Green Living

As environmental concerns continue to rise, sustainability and green living have become increasingly important to today’s renters. With a growing emphasis on reducing carbon footprints and adapting eco-friendly lifestyles, renters are seeking out properties that incorporate sustainable features. From energy-efficient appliances to green building certifications, incorporating eco-conscious elements has shifted from being a trend to a critical factor in attracting environmentally aware renters.

As utility costs continue to climb, property owners are leaning into energy-efficient solutions like never before. By September 2024,  there were 2.1 million LEED-certified residential units registered, reflecting the growing commitment to sustainable building practices. LEED (Leadership in Energy and Environmental Design) certification offers a framework for creating healthy, efficient, and cost-effective buildings, providing a range of environmental, social, and governance benefits.

Green Savings In 2024, Americans were spending an average of $429.33 per month on utilities – about 10% of their annual income, according to the U.S. Bureau of Labor Statistics. For millennials and Gen Z, sustainability is not just a preference but a lifestyle. These renters are drawn to properties that reflect their commitment to reducing environmental impact, with “green living” practices like water conservation, recycling, and choosing eco-friendly products. 

Smart Home Technology  Smart home technology is another feature that appeals to these environmentally conscious tech-savvy generations. Integrating smart devices enhances the living experience, supports sustainable goals, and saves money — aligning with renters’ values. For instance, ENERGY STAR reports that smart thermostats can reduce energy bills by around 8%, helping renters save money while promoting green living. Some examples include:

• Smart lighting 

• Smart thermostats

• Smart Refrigerators 

• Smart Dishwashers

• Solar Panels

• Induction Stovetops

Additionally, these smart technologies can lead to lower maintenance costs for property managers in the long run, making them a win-win for both renters and property owners. By offering such sustainable features, you can attract cost-conscious renters who are looking for ways to reduce their monthly expenses while living more sustainably. 

❖Technology

AI

As technology continues to evolve, AI is becoming an increasingly influential force in various industries, including the real estate sector. AI offers powerful tools for property management to streamline operations, improve efficiencies, and enhance the overall renter experience. In particular, AI is transforming leasing and marketing operations by automating key processes and personalizing interactions.

AI as Digital Leasing Agents

Property managers can now use AI-driven tools to act as digital leasing agents essentially being the first point of contact with prospective renters up until the point of scheduling an in-person tour. These AI tools typically work off a fixed amount of information, so if it encounters a question it cannot answer it will escalate the inquiry to a human staff member to ensure a seamless customer experience. This application addresses a long-standing challenge within the multifamily industry — the low percentage of leads that actually receive timely responses. By automating initial interactions with prospective renters, AI ensures that no inquiry goes unanswered, improving lead engagement and accelerating leasing velocity. 

AT RKW Residential, AI-powered analytics are transforming how rental pricing and occupancy rates are being optimized. With AI, 32% of inquiries from potential renters and 72% of property tours arranged happen after business hours. This ability to connect with potential renters outside of regular business hours is just one example of how AI is enhancing the leasing process and ensuring timely engagement. 

AI Enhancing Search

AI is also revolutionizing the way renters, especially Gen Z, search for properties, as they increasingly turn to both traditional and non-traditional search engines such as social media platforms like Instagram and TikTok. AI can analyze user preferences such as location, budget, and amenities to provide a highly personalized list of  recommendations that match renters with their ideal properties. In this new landscape, it is important to take advantage of this technology and focus on “making sure that every piece of information that we can put into the robust advertising is there,” says Jim Love, Vice President of Marketing and brand at real estate firm Draper and Kramer — emphasizing the importance of capturing both renter and AI attention through search engine optimization. 

❖Financial Support & Resources

Flexible Payments and Schedules

As technology continues to make financial transactions more convenient, renter’s expectations are evolving to expect the same in all industries. Just as consumers now enjoy the streamlined ease of paying for dinner or online shopping, many renters are looking for similar flexibility when it comes to paying their rent — both with flexible payment options and payment schedules. More than half of younger renters, in particular Millennials and Gen Z, report that flexible rent is an important factor in deciding where to live. 

Multiple Payment Methods

Property managers can offer a myriad of paperless payment options like debit, credit, Apple Pay, ACH transfers, or BILT rent pay which gives renters the flexibility to choose the best payment method. BILT rent pay also lets renters earn rewards points on rent, which can be redeemed for travel, fitness, and more.

• Loyalty Program Impact:

  • 98% of renters think their property manager should offer a loyalty program for on-time rent payments. 

  • 97% would renew their lease if a loyalty program was offered

Flexible Payment Schedules

According to a recent 2024 National Multifamily Renter Study, 93% of renters prefer flexible payment schedules, such as biweekly, bimonthly, or weekly payments, over the traditional lump-sum monthly payment. This shift is especially significant considering that 85% of renters face regular debt payments, with rent often being their largest monthly expense. Providing flexibility in both payment methods and schedule can ease the financial burden for renters while helping increase timely payments. 

Security Deposit Alternatives

Additionally, security deposit alternatives eliminate the financial burden of upfront cash payments, offering property managers the same level of protection while reducing the initial financial strain of moving for renters. According to Appfolio’s 2024 Renter Preference Report, 63% of renters place importance on the availability of security deposit insurance, but only 33% of renters currently have access to it. This demonstrates a gap between demand and availability of security deposit insurance — presenting a unique opportunity for property managers to differentiate themselves and attract a new generation of renters who value financial flexibility. 

At Rhino, we understand the challenges of managing security deposits and renters insurance. That’s why we offer a comprehensive solution that seamlessly integrates both services with your PMS. Our security deposit insurance can save renters up to 90% on upfront costs, with policies starting as low as $7 per month*. This provides the financial flexibility to focus on important payments like rent. This approach helps ensure renters feel confident in their financial commitments, leading to greater stability in rental income for property owners.

Credit Boosting

As renters increasingly seek ways to improve their financial health, one key area of focus is the potential for rent payments to positively impact their credit scores. According to the 2024 RealPage Study, 97% of renters are interested in improving their credit score and believe their property managers should support their financial wellness. With 22.4 million U.S. households allocating about 30% of their income to rent, and 12.1 million spending more than half, adding rent payments to renters’ credit reports could significantly impact their credit scores.

In addition to benefitting renters, rent reporting can also provide added benefits for property management, such as streamlined automatic payment collection and increased renter satisfaction. A TransUnion report found that 82% of renters surveyed would be more likely to pay rent on time if their payments were reported to credit bureaus. For renters looking to build or improve their credit, this service can be crucial, as payment history constitutes about 35% of your FICO credit score and 41% of your VantageScore. Ultimately, rent reporting not only benefits renters, but can also provide significant advantages for property managers, including streamlined payment collection and improved renter relations, ultimately fostering a more positive rental experience.

Key Insights & Final Thoughts for 2025

As we move into 2025, the multifamily market will continue to be shaped by evolving renter expectations, especially among the tech-savvy Gen Z. Property managers who invest in technology-driven solutions, sustainability initiatives, and flexible financial options will be better positioned to meet these demands. By supporting renters with these offerings and paying close attention to their preferences, you will be able to attract and retain quality renters while enhancing overall satisfaction and long-term profitability. Staying ahead of these trends and prioritizing renters’ lifestyles needs will be essential to thriving an increasingly competitive market. 

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*Security deposit insurance is provided by Rhino New York, LLC (Rhino Insurance Agency in California) (Rhino), a licensed insurance agency, acting as a general agent for various insurance carriers. Coverage is subject to actual policy terms, conditions and exclusions and is currently not available in HI, MT, ND or WY. Coverage is subject to underwriting approval and may not be available to all persons, even if offered in your state.

Disclaimer: This blog post is not and should not be construed as legal or other professional advice. It is intended for general informational purposes only. Rhino makes no representations regarding the information contained herein and expressly disclaims all liability with respect to such information. **When you make at least 5 transactions in a statement period using your Bilt Mastercard, you’ll earn points on rent and qualifying net purchases (purchases minus returns /credits) for that statement period. Rent: You'll earn 1 rewards point per $1 spent on rent paid through the Bilt App or website with your card account up to a maximum of One Hundred Thousand (100,000) points each calendar year. If your rent payment is less than $250, you will earn 250 points for that rent payment. Rent payments can only be made to one rental property per month. Travel: 2 rewards points (1 base point plus 1 bonus point) are earned per $1 spent on qualifying net purchases made directly at retailers whose Merchant Code for Mastercard is classified as airlines, hotels, motels, resorts, cruise lines, and car rental agencies. Dining: 3 rewards points (1 base point plus 2 bonus points) are earned per $1 spent on qualifying net purchases at retailers whose Merchant Code for Mastercard is classified as eating places and restaurants, drinking places, bakeries, or fast food restaurants. Purchases not processed using the Merchant Codes for Mastercard mentioned above will not qualify for bonus points. Wells Fargo does not have the ability to control how a retailer chooses to classify their business and therefore reserves the right to determine which purchases qualify for bonus points.The following purchases and transactions are excluded from earning bonus points: tax payments, third party payment accounts, at online marketplaces, with retailers who submit purchases using a mobile or wireless card reader or if you use a mobile or digital wallet.  You may not earn bonus points for purchases made through third-party payment accounts, at online marketplaces, with retailers who submit purchases using a mobile/wireless card reader, or if you use a mobile or digital wallet. Other purchases: 1 rewards point will be earned per $1 spent on other qualifying net purchases. If you do not make at least 5 transactions in a statement period you’ll earn a flat 250 points when you use your Bilt Mastercard to pay rent through the Bilt App or Website. ATM charges, cash advances, traveler’s checks, money orders, pre-paid gift cards, Balance Transfers, wire transfers, fees or interest posted to your card account such as returned payment fees, late fees, monthly or annual fees, bets or wagers transmitted over the internet, and casino gaming do not earn points. Refer to the Bilt World Elite Mastercard® Credit Card Rewards Program Agreement (the "Card Rewards Program") Terms and Conditions ("Terms") for details.