Washington, D.C. (February 10, 2022) – This week the U.S. Senate Committee on Banking,
Housing, and Urban Affairs held hearings designed to bring attention to the role of institutional
owners in the rental housing industry. While the National Rental Home Council (NRHC) encourages and welcomes constructive engagement with policymakers and government officials at all levels, this week’s hearings neglected to provide a balanced view of the essential role that single-family rental home companies play in today’s housing market.
“There is a greater need for quality, affordably-priced housing in the United States today than
there has been in decades, and single-family rental home companies are an important part of the
solution,” said David Howard, executive director of NRHC. “The fact is the American housing
market is critically undersupplied. By making long-term commitments to the communities in
which they invest and build, single-family rental home companies – large and small – are
providing families with more options for stable, quality, and affordably-priced housing in
neighborhoods that might otherwise not be accessible to them.”
“As for the assertion that ‘large institutional owners’ are somehow influencing local or national
housing market dynamics, the data clearly shows this is not the case. NRHC members, which
include America’s leading single-family rental home companies, collectively own less than 1.2%
of the single-family rental homes in the country, less than 0.6% of the rental housing, and less
than 0.2% of the overall housing. Further, the three largest institutional owners in the singlefamily rental home industry account for less than one percent of the market.”
Demand for single-family rental housing is on the rise:
- There are 870,000 more renter households today than there were at the beginning of the
COVID health pandemic. (Harvard’s Joint Center for Housing Studies) - In 2020, there were 65,000 entry-level homes built in the United States. During the
1970s the number of entry-level homes built in the United States routinely surpassed
420,000 annually. (Bipartisan Policy Center) - Over the last five years, the amount of owner-occupied housing in the United States has
increased more than 10% while the amount of rental housing has increased just over
1%. (U.S. Census Bureau) - The COVID health crisis has led to a surge in migration with 1 in 10 Americans moving
to a new market in 2020. Population migration leads to greater demand for rental
housing. (Zillow)
At the same time, NRHC member companies have demonstrated a consistent focus on caring for
the residents and neighborhoods they serve:
- During the COVID pandemic, NRHC member companies have provided economic
assistance to more than 80,000 resident households. - NRHC’s five largest member companies each have A+ ratings by the Better Business
Bureau. - On average, NRHC member companies invest over $35,000 to upgrade newly
purchased homes. - NRHC member companies hired or contracted with more than 8,000 local businesses
across the country in 2020. - Many NRHC member companies provide residents with a pathway to homeownership
by reporting on-time rental payments to credit agencies, offering lease-to-own programs,
and partnering with local non-profit organizations to offer credit counseling and financial
literacy programs.