Multifamily's New Reality in 2026: Knightvest Data Shows Renters Choosing to Stay as Homeownership Loses Cultural Pull

Mortgage rate sensitivity drops 17 points in two years as majority of renters no longer view homeownership as a status symbol

Renters are generally optimistic about their finances going into 2026, signaling strong tailwinds for the industry

DALLAS, Nov. 12, 2025 /PRNewswire/ -- Knightvest Capital, a vertically integrated multifamily investment firm, has released the findings of its third annual Multifamily Renter Sentiment Report, revealing a meaningful shift reshaping the multifamily landscape: renting is no longer a temporary compromise but a deliberate, lifestyle decision.

"These findings underscore our renewed optimism for the multifamily industry as renters report confidence in both their personal financial situations and in their decision to rent going into 2026," said David Moore, Knightvest founder and CEO. "The winners in this environment will be firms that recognize apartments are no longer viewed as temporary housing, but rather a lifestyle category that demands long-term thinking on amenities, service, and community experience."

The report reveals several trends that continue to reshape how the industry thinks about resident retention and property positioning:

Renters are choosing to stay as homeownership loses status appeal

• Half (50%) of respondents said they are choosing to rent, with 47% viewing renting as a long-term destination of five years or more (up from 42% last year).
• More than half (52%) of renters do not view homeownership as a status symbol (up from 45% last year), and roughly 50% say they are uninterested or neutral about owning a home in the next five years – signaling that homeownership is losing its cultural pull.
• Significantly, 64% of those who choose to rent have previously owned a home, highlighting how affordability is not the sole factor in the rent-buy decision.

Mortgage rate sensitivity drops sharply

• Mortgage rate sensitivity dropped 17 points in two years as only 53% of respondents said they would be more likely to purchase a home if mortgage rates decreased (down from 60% last year and 70% the year before).

Affordability and quality-of-life drive decisions, but generational nuances matter

• Top reasons for renting include
  1. The high cost of homeownership (61%)
  2. Lower maintenance responsibilities (56%)
  3. Desirable locations (34%)
• While affordability and convenience remain leading factors, renters this year placed greater emphasis on living near desirable locations, replacing flexibility as a top three reason from 2024.
• Generational differences are significant as Gen Z renters emphasize cost as the primary reason for renting, while Baby Boomers prioritize lower maintenance responsibilities as their primary reason for renting. Understanding these distinct motivations are informing everything from unit mix to marketing messaging for multifamily firms.
  • o According to the findings, Gen Z respondents estimate that an annual income of $145,000 is required to purchase a home, representing an 8% year-over-year increase, whereas Millennials place the figure closer to $157,000, a 17% rise from the prior year.

Financial confidence is strong.

• Despite macroeconomic uncertainty, an overwhelming 95% of renters expect their financial situation in 2026 to be better or the same which should bode well for renter retention.

Technology is not a driving factor in apartment decision-making.

• Only about 40% of respondents find smart technology important when making the decision to rent.
• The top 3 tech features valued most overall are:
  1. Smart lock/keyless entry
  2. Smart thermostat
  3. Video doorbell/smart security

"The findings reflect what we're hearing directly from residents in that people are making more deliberate housing decisions and staying longer in communities that deliver quality and consistency," said Daniel Ebner, President of Knightvest Residential. "Our goal is to meet that higher bar and continue earning the trust of residents who choose to make our communities home for the long term."

Survey Background:

This poll was conducted in September 2025, among a group of more than 2,000 U.S. apartment renters. The survey was created by Knightvest and conducted through an online survey platform. Participation was voluntary, and respondents were not compensated.

About Knightvest Capital

Knightvest is an industry-leading multifamily investment and management firm known for creating communities of excellence and delivering dependable results that enable investors, employees, and residents to thrive. As a vertically integrated firm, Knightvest specializes in renovating and repositioning multifamily properties. Its unique approach is focused on setting a new standard in design-driven quality, executing with operational efficiency, and leading with a people-first culture. Since its founding in 2007, Knightvest has invested over $10 billion to acquire over 60,000 units across high-growth metro areas in Texas, Arizona, the Carolinas, and Florida to become one of the largest apartment owners in the United States. For more information, please visit Knightvestcapital.com and follow us on LinkedIn.

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SOURCE Knightvest Capital