The build-to-rent (BTR) industry had a record year in 2023, according to data from Yardi's RentCafe site, as builders and developers completed nearly 27,500 houses for single families.

That was 75% more than in 2022 and three times as many houses as in 2021. The units offered more room than a typical apartment. That was a big plus in pandemic days, when parents and families were often stuck at home. Also, given house price increases, the requisite down payments and 30-year mortgage levels at 7.13% as of April 17, 2024, further drove demand, according to the Mortgage Bankers Association.

That doesn't seem surprising, given that rent growth is doing far better for house rentals than for multifamily, according to the Rentometer Quarterly Report. Looking at related 3-bedroom single-family-rentals across 755 cities, with rentals between $500 and $10,000, 75% of the metros in question — or about 567 — saw year-over-year increases, with 16% seeing double-digit jumps. Yardi includes communities with at least 50% of units either sharing no walls with other units, or shared walls but no neighbors above or below or have a direct access garage.