US Property Management Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 81.52 Billion |
| Market Size (2029) | USD 98.88 Billion |
| CAGR (2024 - 2029) | 3.94 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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US Property Management Market Analysis
The US Property Management Market size is estimated at USD 81.52 billion in 2024, and is expected to reach USD 98.88 billion by 2029, growing at a CAGR of 3.94% during the forecast period (2024-2029).
The United States is rapidly progressing with newer infrastructures and technologies frequently developed, which also gradually boosts the overall economic statistics in this part of the world. Businesses are overwhelmingly growing with many stimulating product launches and supportive management and statistical techniques.
The property management industry is one of the fastest-growing industries in the United States. With the increasing number of new apartments being built in major cities across the United States, there is an increasing need for effective real estate management solutions.
SaaS models are becoming a strategic necessity for property management companies that want to stay ahead of the competition and stay agile in the ever-changing real estate environment. In addition, the changing landscape of workplace mobility presents a huge growth opportunity for real estate professionals in the United States. There were 296,477 property management businesses in the United States as of 2023, an increase of 2.1% from 2022. The US property management industry is labor intensive, which means businesses are more reliant on labor than capital. The highest costs for business in the US property management industry as a percentage of revenue are wages (42.9%), purchases (2.7%), and rent and utilities (2.7%).
US Property Management Market Trends
Demand from the Residential Sector is Supporting the Market
House prices continued to increase in most states despite economic uncertainty, inflation, and rising interest rates. The strongest home appreciation was in the state of Arizona, as well as in Maine, Connecticut, and New Hampshire. In Q2 of 2023, prices decreased in eight states and in the District of Columbia, including California, Washington, and Colorado.
In California, the median home value was significantly above the average sales price for both new and existing homes. California is one of the most sought-after housing markets in the United States.
Property management software company RealPage predicts that the number of apartment units completed in 2024 will be 671,953, which is the highest number since 1974.
The apartment supply in the United States exploded in 2023, reaching its highest level since 1987, with over 439,000 new units being built. This increase in supply has provided renters with more options and significantly slowed rent growth, resulting in outright apartment rent decreases in many markets.
As the demand in the residential segment increased, there was also a simultaneous demand for property management. Managing all these tasks comes with a lot of paperwork. That’s the reason property managers are using software to manage all these tasks.
Demand for Smart Homes is Driving the Market
Implementing IoT technology and smart devices is expected to witness an increase in penetration in various aspects of the real estate business. The need for IoT is continuously increasing in the real estate business in order to improve customer serviceability.
Software providers have begun to integrate technology with software to improve communication between the property and its administrators, owners, investors, and others. For example, Capstone Partners, a Texas-based developer, teamed with IOTAS, an IoT solution provider, to create a linked smart home environment for tenants. As a result, the increasing penetration of smart homes is likely to drive property management software solutions.
The massive amount of data created by all linked devices, platforms, and appliances may be used to improve software functions. Furthermore, with data analysis, the adoption of IoT is projected to assist property owners in recognizing connected device performance and taking appropriate action to deliver better services to renters. According to Johnson Controls' building efficiency panel poll, 70% of respondents feel that introducing IoT to anticipate and diagnose trends will fuel demand for the software.
US Property Management Industry Overview
Leading players in the US property management market focus on obtaining knowledge in revenue management, payment services, communication solutions, facility management, and lease management to improve their software capabilities and product applicability. This technique assists organizations in increasing their corporate footprint in the United States.
Along with the acquisition, a significant emphasis on partnership and cooperation assists major stakeholders in providing new goods and experiences. Furthermore, the development and growth of the existing product range are assisting suppliers in improving their market position. Some of the major players in the market are Greystar Real Estate Partners, JLL, Lincoln Property Company, and CBRE.
US Property Management Market Leaders
Greystar Real Estate Partners
Lincoln Property Company
CBRE
Jones Lang LaSalle Incorporated
BH Management Services LLC
*Disclaimer: Major Players sorted in no particular order
US Property Management Market News
- February 2024: Wood Partners, the 4th-largest real estate developer in the United States, sold its property management business for its 38,000+ units in 17 states to Greystar (Charleston, South Carolina), the country's largest apartment management company.
- November 2023: RealPage Inc. acquired On-site Managers Inc. for approximately USD 250 million in cash. On-Site is an on-demand leasing platform for multifamily property management and renters that integrates leads from all sources and converts them to signed leases for the multifamily industry and the single-family housing industry. RealPage will continue to support the on-site platform and plans to integrate the best of its on-site platforms in the future. Clients on both platforms will continue to benefit from future improvements without disruption.
Property Management Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Overview
4.2 Market Drivers
4.2.1 Increasing Demand from the Commercial Segment is Driving the Market
4.2.2 Increasing Disposable Income of Consumers is Driving the market
4.3 Market Restraints
4.3.1 Economic Uncertainties are Restraining the Market
4.4 Market Opportunities
4.4.1 Rapid Development of Apartments is Driving the Market
4.5 Value Chain / Supply Chain Analysis
4.6 Industry Attractiveness - Porter's Five Forces Analysis
4.6.1 Threat of New Entrants
4.6.2 Bargaining Power of Buyers/Consumers
4.6.3 Bargaining Power of Suppliers
4.6.4 Threat of Substitute Products
4.6.5 Intensity of Competitive Rivalry
4.7 PESTLE Analysis
4.8 Impact of the COVID-19 pandemic on the Market
5. MARKET SEGMENTATION
5.1 End User
5.1.1 Commercial
5.1.2 Residential
5.2 Service
5.2.1 Marketing
5.2.2 Property Evaluation
5.2.3 Tenant Services
5.2.4 Maintenance
5.2.5 Other Services
6. COMPETITIVE LANDSCAPE
6.1 Market Concentration Overview
6.2 Company Profiles
6.2.1 Greystar Real Estate Partners
6.2.2 Lincoln Property Company
6.2.3 CBRE Group
6.2.4 Jones Lang LaSalle Incorporated
6.2.5 CoStar Group Inc.
6.2.6 Pinnacle Property Management
6.2.7 Equity Residential
6.2.8 FPI Management
6.2.9 AvalonBay Communities
6.2.10 WinnCompanies*
- *List Not Exhaustive
6.3 Other Companies
7. FUTURE OF THE MARKET
8. APPENDIX
US Property Management Industry Segmentation
A property management company deals directly with the tenants or prospects, saving the property owner's time, as they do not have to worry about marketing the rentals, negotiating with the tenants, handling maintenance and repair issues, collecting rent, responding to tenant complaints, and even pursuing evictions. A property management company brings experience in terms of handling property and provides the owner with optimal solutions.
The US property management market is segmented by end user (commercial and residential) and service (marketing, property evaluation, tenant services, maintenance, and other services). The report offers market size and forecasts for the US market in value (USD) for all the above segments.
| End User | |
| Commercial | |
| Residential |
| Service | |
| Marketing | |
| Property Evaluation | |
| Tenant Services | |
| Maintenance | |
| Other Services |
Property Management Market Research FAQs
How big is the US Property Management Market?
The US Property Management Market size is expected to reach USD 81.52 billion in 2024 and grow at a CAGR of 3.94% to reach USD 98.88 billion by 2029.
What is the current US Property Management Market size?
In 2024, the US Property Management Market size is expected to reach USD 81.52 billion.
Who are the key players in US Property Management Market?
Greystar Real Estate Partners, Lincoln Property Company, CBRE, Jones Lang LaSalle Incorporated and BH Management Services LLC are the major companies operating in the US Property Management Market.
What years does this US Property Management Market cover, and what was the market size in 2023?
In 2023, the US Property Management Market size was estimated at USD 78.31 billion. The report covers the US Property Management Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the US Property Management Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
What are the segments covered in the US Property Management Market Report?
The segments covered in the US Property Management Market Report are a) End-User: Commercial and Residential b) Service: Marketing, Property Evaluation, Tenant Services, Maintenance, and Other Services
What are the promising segments within the US Property Management Market?
The promising segments within the US Property Management Market are a) Hotel Property Management b) Commercial Property Management c) Smart Property Management d) Sustainable Property Management
US Property Management Industry Report
The United States property management market is witnessing significant growth, driven by an increasing demand for both commercial and residential rental properties. This surge is attributed to the availability of accessible, affordable, and high-quality properties in major city locations across the USA. Advanced technologies such as virtual reality, artificial intelligence, the internet of things, and machine learning are being integrated into property management, further boosting the market size. However, the market faces challenges such as increasing security and data breaches, as the software used by the largest property management companies in the US collects crucial and personal information of both clients and owners, making the real estate industry vulnerable to security threats. The market is segmented into software and services, with software dominating due to its ability to manage multiple property operational tasks. In terms of deployment, cloud-based software is leading the segment due to its advanced security and cost-effective solutions. The residential sector holds the largest market share in the property management market in the USA, with property managers being the dominant end-users. This analysis of the US Property Management market, including market share, size, and revenue growth rate, is provided by Mordor Intelligence™ Industry Reports. The analysis includes a market forecast outlook and historical overview. A sample of this industry analysis is available as a free report PDF download.
