More Americans are choosing to rent over buying a home, according to Knightvest Capital’s second annual survey measuring multifamily renter sentiment.
According to the findings from the survey of more than 2,500 U.S. renters in September, 48% reported choosing to rent versus feeling like they have to, while 42% said they view renting as a long-term path for the next five-plus years.
“Our survey shows a fundamental shift in how people think about homeownership. For many, renting is no longer a temporary stop but a preferred, long-term lifestyle choice that offers flexibility and community—something we expect to continue shaping the market in the coming year,” said David Moore, founder and CEO of the Dallas-based vertically integrated multifamily investment firm, which has invested over $10 billion since 2007 to acquire over 60,000 units across high-growth metros in the Sun Belt. “These findings have important implications for the multifamily industry going into 2025: As people stay in apartments longer, investments in quality, service, and location are increasingly important.”
The high cost of homeownership is the top reason 63% of survey respondents said they choose to rent, followed by lower maintenance and repair responsibilities, 59%, and flexibility to relocate, 34%.
The survey found almost half of renters, 45%, do not view homeownership as a status symbol and one-third feel ambivalent about homeownership, a slight increase from last year. In addition, 31% of respondents reported they previously owned a home.
When it comes to homeownership, 60% said they would be more likely to purchase if interest rates dropped compared with nearly 70% last year.
The survey also highlighted renters’ proximity to work and their social interaction.
Half of the respondents reported working entirely from the office, with a strong majority citing location and proximity to work as a major factor on their housing preferences.
Nearly one-quarter of renters, 24%, said they reported feeling lonely at least weekly. For those feeling lonely on a daily or weekly basis, about 64% said they value social interaction within their multifamily community, which was higher than those who said they experience loneliness on a monthly basis, rarely, or never.
“As renters continue to prefer a long-term apartment community lifestyle choice rather than a steppingstone to homeownership, the multifamily market must continue to adapt not just by offering a premium place to live but also in meeting the residents’ elevated expectations of service and an overall living environment,” added Daniel Ebner, president of Knightvest Residential. “Investing in the improvement of residential properties and fostering a sense of community while providing exceptional service will be the keys to attracting and retaining renters that stay longer and expect more from their time with us.”
