The competition is getting more and more fierce everyday in the multifamily housing sector. Multifamily property management firms work hard to attract and keep tenants.

Data shows that properties with modern features make more money. They can earn up to 20% more in net operating income (NOI). This is compared to properties that do not adapt to tenant needs.

According to NMHC’s latest industry report, properties with superior tenant retention strategies experience vacancy rates 25% lower than their competitors.

This blog is a helpful guide for property managers and executives. It focuses on improving tenant retention and increasing NOI. You can achieve these goals without spending a lot of money. It also shows how to do better than your competitors.

What Is Legacy Thinking in Multifamily Property Management?

Legacy thinking is the outdated practices that fail to meet the new and evolving expectations of tenants. Despite the rapid evolution of the multifamily housing market, most properties are still operating under legacy systems.

Key Statistics Highlighting Legacy Thinking:

Inefficiency: 40% of property managers report that outdated systems negatively impact daily operations, leading to delayed responses and tenant dissatisfaction.
Technology Lag: Only 30% of multifamily properties have adopted modern tenant engagement tools, even though such technologies boost satisfaction by 25%.
Missed Opportunities: Properties without modern amenities experience a 15% higher vacancy rate compared to those that have adapted to tenant needs.

How to Break Loose from Legacy Thinking in Multifamily Properties?

Breaking free from legacy thinking is not only possible but necessary to thrive in today’s competitive market. Here are four key areas to focus on.

1. Don’t Overburden Your Property Managers

According to a report, property managers spend 60% of their time on tasks that could be streamlined or outsourced. Overburdening your team leads to inefficiencies and burnout, which directly impacts tenant satisfaction.

Solution:

Delegate tasks like marketing and amenities management to specialized teams or partners.
Use modern software to automate routine tasks, improving response times and tenant interactions.

2. Get Rid of Old Property Management Models

Traditional property management approaches, which rely on generalized responsibilities, are less effective in the current competitive landscape.

Data-Backed Impact:

Properties with special roles, like dedicated marketing teams, have an 18% higher tenant retention rate. This is according to J Turner Research.
Multifamily properties adopting functional specialization have seen NOI increase by up to 12% annually.

3. Make the Right Marketing Effort

Digital marketing has proven to be a game-changer for multifamily properties. Properties using targeted marketing strategies, including virtual tours and social media campaigns, report a 25% increase in qualified leads.

What Works:

Highlight proximity to key amenities like public transit (important for 50% of renters).
Showcase modern amenities, which 72% of tenants prioritize when selecting housing.

Partner With Amenify and Provide your Residents With Premium Lifestyle Services

How to Beat the Multifamily Property Next Door

Winning against nearby competitors involves data-driven strategies and tenant-focused innovation. Here’s how to get ahead:

1. Functional Specialization Instead of Being Jack of All Trades

Focusing on specific operational areas yields better results than attempting to manage everything in-house.

Data Insight:

Properties with specialized teams for housekeeping, marketing, leasing, and maintenance see a 12% increase in operational efficiency, as noted in survey.

Also Read: Ancillary Income Is Picking Up Steam

2. Be Vision-Driven

Having a clear vision aligns your team and strategies with long-term success. Properties emphasizing sustainability, community engagement, and tenant well-being experience a 15% boost in tenant satisfaction scores.

3. Adapt to the New Demands of Tenants

Tenant expectations are evolving. According to NMHC, 64% of renters are willing to pay higher rents for features like co-working spaces, smart home technology, and pet-friendly environments.

Most Requested Helpful Services

Primary Source: A Resident Survey Conducted by Amenify

Key Updates to Consider:

Invest in high-speed internet infrastructure—a must-have for remote workers.
Create pet-friendly spaces, as 35% of tenants own pets and consider them in their housing decisions.

4. Better Property Positioning: Providing the New Essentials

Position your property by focusing on essentials renters now consider baseline requirements:

Energy Efficiency: 70% of renters are willing to pay a premium for energy-efficient appliances and practices.
Smart Home Features: 40% of millennials prioritize smart home technologies like keyless entry and smart thermostats.
Community-Focused Amenities: Properties with shared spaces, like gyms and lounges, report a 20% lower vacancy rate.

5. Opt for Good Lease Trends

Modern lease options attract tenants and improve retention. Properties offering flexible leases or bundled services, such as cleaning or utilities, report a 10% higher renewal rate than competitors with rigid terms.

Also Read: The Key to Multifamily ROI and Tenant Retention

Results? The Numbers Say It All

When properties implement these strategies, the results are undeniable.

Impact of On-Demand Service on Tenant Retention

Primary Source: A Resident Survey Conducted by Amenify With 1,00,000 Residents

Tenant Retention: Up to 30% improvement by prioritizing tenant needs.
NOI Growth: An increase of 15-20% by adopting specialized roles and modern amenities.
Lower Vacancy Rates: Properties with updated positioning see vacancy rates drop by 25% compared to legacy competitors.

Why Partner with Amenify to Beat the Next Door Competition

Amenify empowers multifamily properties to excel by streamlining operations and delivering modern amenities tenants love. Here’s why:

Comprehensive Amenities: From fitness programs to housekeeping, Amenify offers services that 75% of renters actively seek.
Streamlined Operations: Properties using Amenify reduce administrative workloads by 20%, freeing managers to focus on tenant relationships.
Data-Driven Decisions: Leverage Amenify’s analytics tools to understand tenant preferences and adjust strategies accordingly.

For Example Services like pet care, cleaning, and chores contribute to ancillary income of $60-200 per unit per year, adding another $12,000-$20,000 annually to the property’s revenue.

Proven Results: Properties partnering with Amenify report a 15% boost in tenant retention and a 10% increase in NOI within the first year.

Conclusion

The multifamily housing market demands innovation and adaptability. By leveraging data, prioritizing tenant needs, and partnering with experts like Amenify, your property can lead the pack in this competitive race.

Ready to outperform the competition? Contact Amenify today to learn how we can help you achieve measurable success.