Property Management in the US - Industry Market Research Report

Under new ownership: Opening rental facilities will become more profitable for property managers

Property managers are hired to oversee operations for apartment complexes and other rental sites. Demand for management services is countercyclical, as more consumers switch to rentals when the economy worsens and the price of home ownership increases. Managers experienced growth during the economic downturn bought on by the spread of COVID-19, carried by increased residential constructions. Rental vacancy rates declined as property owners needed to fill more apartments to maximize revenue during this time of uncertainty, as the eviction moratorium prevented them from pushing out renters that couldn't pay. A sharp increase in office rental vacancies did pressure the industry, as working from home became the norm because of pandemic-related restrictions. Revenue grew at a CAGR of 1.0% to $114.9 billion over the past five years, despite a decline of 0.4% in 2023 alone.

Companies in this industry manage residential and nonresidential real estate for property owners. Property management responsibilities relate to the overall operation of a property, including maintenance, rent collection, trash removal, security and some renovation activities. Industry players may also help manage a property’s accounting, but operations related to the transactions of properties or real estate investments are not included in this industry.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.