- Build-to-rent housing now accounts for about 7% of new single-family homes in the US.
- Supply of build-to-rent homes has expanded more than tenfold over the past decade.
- Build-to-rent helps ease affordability challenges by increasing overall housing supply.
- Changing renter demographics include both young professionals and older adults seeking low-maintenance living.
Build-to-Rent Momentum Grows
Build-to-rent housing is gaining ground as a critical response to the US housing affordability crisis, reports NPR. Firms like NexMetro are expanding single-family rental communities, especially in Sun Belt regions where land and population growth align. In 2024, over ten times more build-to-rent homes were completed compared to a decade earlier, now making up about 7% of new single-family supply.
Why It Matters
The rise of build-to-rent addresses a key supply shortfall in both the for-sale and rental markets. Experts estimate the US faces a housing deficit of over 4M units, while the cost to own remains out of reach for many. By adding purpose-built rental inventory, build-to-rent lowers pressure on prices for both renters and buyers.
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New Demand and Demographics
Build-to-rent homes are attracting a diverse group of renters from young professionals — many of whom prefer the flexibility and amenities of renting — to seniors looking to avoid the burdens of home maintenance. The model also appeals to those who value privacy, highlighting standalone layouts and cottage-style homes.
Outlook and Community Impact
Build-to-rent faces less neighborhood resistance than large apartment complexes, due to its smaller scale and design. In many fast-growing Sun Belt markets where population growth and land availability align, this type of housing has become one of the most active areas of new residential development. Homeownership values in the US remain strong. However, surveys show few renters view ownership as central to the “American dream.” As a result, more households now choose renting as a long-term housing option. Build-to-rent communities help meet that shift in demand. They also help address supply shortages and affordability challenges in cities nationwide.
