47+ Must-Read Property Management Statistics in 2021

Apartments

47+ Must-Read Property Management Statistics in 2021

January 04, 2021

statistics-for-property-managers

As we move into 2021, there are a lot of unknowns in the property management industry. How long will it take to recover from COVID? What will be the hangover impact it has on the renters market?

While there is no way to predict what will happen in the next year, we can look to multifamily trends and statistics in the property management industry to make educated guesses on how it will look.

With that in mind, here is an ultimate roundup of the most impressive property management statistics all property managers, leasing coordinators, community managers, and more should know in 2021.

Property Management Industry Statistics in 2021

  • 80% of property managers are tasked with managing or performing building maintenance on top of collecting rent. (iPropertyManagement)
  • At 35%, the majority of property managers manage communities of 101-500 units. (Buildium)
  • At 15%, the least common type of property manager is those who manage communities of more than 500 units. (Buildium)
  • 1 in 3 property managers work in an HOA community. (NARPM)
  • 56% of property managers own the building they’re managing. (Buildium)
  • 52% of property management companies make less than $249,000 in annual revenue. (Buildium)
  • Only 13% of property management companies make more than $1 million in annual revenue. (Buildium)
  • Property managers say efficiency (at 32%) an maintenance (at 31%) are the two biggest challenges in their day-to-day operations. (iPropertyManagement)
  • 69% of property managers reported portfolio growth in 2019, down from each of the previous three years. (NARPM)
  • The property management industry is worth an estimate $88 billion in 2020, down slightly from $90 billion in 2019. (Statistica)
  • There are an estimated 291,978 property management companies in the US in 2020. (IBISWorld)

Property Management Software & Amenity Statistics

  • There are 345 property management software companies in 2021 (G2.com)
  • The most common types of problems solved with property management software include rent collection, maintenance automation, and community communication. (G2.com)
  • The average cost of an annual property management software contract ranges between $1,000 to $5,000. (Capterra)
  • For enterprise property management companies, the average can be up to $20,000 a year. (Capterra)
  • 90.3% of Millennial respondents said they would or would consider paying higher rent for better amenities or proptech. (2ndKitchen)
  • 87.2% of multifamily residents say amenities significantly impact their decision to sign or renew a lease. (2ndKitchen)
  • 93.6% of multifamily residents said that would or would consider paying higher rent for improved onsite amenities. (2ndKitchen)
  • The most common types of amenities found in multifamily communities are fitness & wellness amenities at 19.5% of all properties. (2ndKitchen)
  • The most common specific amenity found in multifamily properties is bike-storage rooms, at 60% of all communities. (2ndKitchen)
  • The most in-demand amenities in 2021 are fitness amenities, outdoor spaces, and on-demand food services. (2ndKitchen)
  • The least in-demand amenities in 2021 are gaming amenities, art spaces, and childcare services. (2ndKitchen)

Lease Renewal & Resident Retention Statistics

  • Despite COVID-19, lease renewal rates are at an all-time high in 2020 of 53.3%, up from 52.5% of renters in 2019 (RealPage)
  • Before COVID-19, apartment retention rates had reached 58.5%. (RealPage)
  • In 2018, the resident retention rate in the largest 50 US markets was 52.5% – up .8% from 2017 (RealPage)
  • At 61.9%, Milwaukee and Newark/Jersey City had the highest resident retention rates of all large US markets in 2018. (RealPage)
  • At 46.3%, Salt Lake City and San Antonio had the worst resident retention rates of all large US markets in 2018. (RealPage)
  • The current rental vacancy rate in the US is 6%. (iProperty Management)
  • Landlords receive an average of two applications for every property rental they list. (MySmartMove)
  • Reducing resident turnover by 5% improves operating income for property management companies by an average of $15,000 (2ndKitchen)
  • The average renewal rate (or increase in rent rate) for those re-signing leases has been 1.6% since June, a favorable number for renters due to the economic downturn from COVID-19. (RealPage)
  • While the majority of renters sign a 12-month lease (61%), 9% of renters choose to sign longer leases of 12+ months. (Zillow)
  • 47% of renters who moved in 2018 already planned to move in the following year. (iProperty Management)
  • 52% of renters in 2018 had regrets about signing a lease because they were unable to customize or improve the property (iProperty Management)

Statistics on the Renting Marketing Post-COVID in 2021

  • In December 2020, 89% of renters made their rent payment – meaning over 1 in 10 renters were not able to make rent. (NMHC)
  • December 2020 marked the worst month for renters missing rent payments in the previous two years. (NMHC)
  • According to ParcelPending, Millennials represent 40% of the total housing marketing, with 90% of all Millennials being renters. (ParcelPending)
  • 44 million homes (36%) are occupied by renters, in comparison to 75 million that are owned. (NMHC)
  • In 2019, 66% of US counties saw the cost of renting increase. (Realtor.com)
  • San Francisco is the most expensive city for renting in the US, with an average renting cost of $3,690. (Zumper)
  • Over 50% of renters spend 30% or more of their income on rent. (PWC)
  • From 2017 to 2019, new multifamily property construction projects increase by 21%. (Born2Invest)
  • The fastest growing renting segment of the population is households over 60, which grew by 43% last year from 6.5 million to 9.4 million. (Rentcafe)
  • Since COVID-19, San Francisco has seen the biggest drop in rent growth, down 24.5% since March 2020 – from $3,200 down to $2,300. (Apartmentlist.com)
  • Since COVID-19, Boise has seen the biggest rise in rent growth, up 9.1% since March 2020 – from $3,200 down to $2,300. (Apartmentlist.com)
  • Suburban cities have seen a slight increase in rent prices since COVID-19, up .5%. (Apartmentlist.com)
  • Major, principal cities have seen a major decrease in rent prices since COVID-19, down 8.3$. (Apartmentlist.com)

Get the new, 38-page 2021 Multifamily Amenities Guide now!

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87% of current multifamily renters say amenities significantly impact their decision.

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