Single-Family Rental

Landlords Encouraging Renters to Move

John Burns photo

John Burns

July 7, 2015

Rents in the highest-quality apartments rose 4.4% last year, including an 8.0% jump in one West Coast portfolio. With a very high occupancy level (95.8%) and job growth exceeding construction levels in almost every major market in the country, landlords will continue to raise rents throughout the remainder of the year.

While the number of tenants leaving to buy homes remains low—only 14.7% of renters moving versus a norm of 17% since 2002—we believe more tenants will choose to become homeowners soon. The following table and chart come from a report we prepare that compiles the results of the publicly traded apartment REITs. We find this to be the most pertinent rental market data for home sales because these represent hundreds of thousands of high-income renters.

In summary, $70+ per month rent hikes are a great kick in the pants to go buy a home if you have been thinking about buying a home anyway. We expect the landlords to keep raising rents aggressively until they start to hurt their own occupancy numbers.


Building Market Intelligence™

Every week, we deliver analysis to over 40,000 subscribers with our Building Market Intelligence™ newsletter. Subscribe to our weekly BMI newsletters to stay current on pressing topics in the housing industry.

About The Author

John Burns photo
John Burns
Chief Executive Officer
As CEO, John grows, leads, and supports a team of passionate, articulate, likable, and smart experts. Together, we solve today so our clients can navigate to tomorrow.

Contact Us

If you have any questions about our services or if you would like to speak to one of our experts about we can help your business, please contact Client Relations at

Products and Services Mentioned

green check icon

Research Membership

Our research services enable our clients to gauge housing market conditions and better align their business and strategic investments in the housing industry. We provide a thoughtful and unique holistic approach of both quantitative and qualitative analysis to help clients make informed housing investment decisions.
green check icon

Single-Family Rental Package

A comprehensive overview of the single-family rental industry’s major markets including forecasts, SFR market rankings, macro drivers, housing supply, demographic trends, and a look at Build-to-Rent.
green check icon

Real Estate Consulting

Our experienced team of consultants helps clients make sound housing investment decisions. We thrive on their success and work with many clients over multiple years and numerous projects.

Latest Insights

Higher-for-Longer Rates Spook CRE Investors, per the Burns + CRE Daily Fear and Greed Index
1Q24 Kitchen and Bath Insights: Middle-Market Malaise; Luxury-Market Strength
Charting a 22-year roller coaster of investor activity