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our clients are looking to you for more than just facilitating real estate transactions – they want insight and guidance on the trends that will shape the market. One trend that's gaining momentum is build-to-rent (BTR), where residential communities are purpose-built for long-term rental occupancy instead of individual ownership.
BTR offers a flexible housing solution for those who can't afford homeownership or prefer not to own. Millennials, Gen Zers, and retirees may be interested in BTR projects, which often feature modern amenities, private yards, and no long-term mortgage commitment. According to Fixr's 2025 report, the number of BTR home starts nationwide has increased by 134% since 2019.
Investors can benefit from BTR with a stable income stream and potential for long-term appreciation. Developers can also save money on construction and operational costs due to economies of scale. Be aware of development incentives available in your state, such as tax exemptions or direct funding to reduce development costs.
Real estate professionals can profit from BTR transactions through rental commissions, new revenue streams, and repeat business. However, consider the potential downsides: lower or one-time commissions, developer restrictions, limited access and control, and not being a good fit for all clients.
To stay ahead of the curve, diversify your client base to work with developers and investors. Stay informed about BTR's financial models, regulatory environment, marketing strategies, and other intricacies. Expand your network to collaborate with architects, urban planners, property managers, and others who can help you provide comprehensive services to clients involved in BTR developments.
BTR is expected to grow and adapt over time, becoming an integral part of the housing landscape. As a real estate agent, you're uniquely positioned to bridge the gap between investors, developers, and renters. By understanding the intricacies of BTR and developing strategic partnerships, you can profit, advise with confidence, and help shape the future of housing in your market.
