Rent. CEO, Jon Ziglar shares why prop tech is entering its next big shift within the rental industry and where the biggest opportunities are for entrepreneurs.
Few industries have received more attention over the past two years than the residential rental industry. A global pandemic, lockdowns, record unemployment and then employment, exploding home prices, government stimulus and the emergence of a work-from-anywhere society have all played a role in fundamentally changing the dynamics of how, why, and where we live. You can hardly turn on a news program or browse sources without seeing something about rental rates, home prices and the housing crisis.
Yes, it is an interesting time to be in the rental industry, and especially in Prop Tech (property technology.) But it was interesting well before COVID put it front and center in the public eye. The residential rental industry has all the characteristics of a great place for entrepreneurs to dive in. It has the four key ingredients I always look for in an industry when evaluating an opportunity.
Of the over 128 million housing units in the US (think apartments, condos, single-family homes), over 30%, or approximately 44 million, are rentals. Each year, Americans pay over $290 billion in rental payments, with that amount increasing each year as rates and inventory rise. So, there is a lot of money at stake.