An emerging story in the multifamily industry is the coming of age of Generation Z, the largest in American history, and their strong preference for renting for financial and lifestyle reasons.
They're also changing how multifamily marketers highlight their apartment communities because Gen Z's values differ from those of older renter groups.
- They desire authentic online experiences.
- They're comfortable using AI while researching and engaging with communities.
- They care about real renter testimonials.
This blog will discuss ways to future-proof your multifamily marketing plan and make your community stand out among Gen Z renters.
Gen Z renters see right through the Internet Listing Service model.
Modern-day technology has been an essential part of Generation Z's day-to-day life from the moment they can remember.
Gen Z's unique distinction from other renter groups is their desire for authentic online experiences less controlled by how much advertisers pay but by where, how, and when a product catches their attention.
Having spent so much of their life already using phones, social media apps, or shopping online, they've developed an innate knowledge of how online marketing works.
When searching for an apartment, they see right through the Internet Listing Service model.
Younger renters know that apartment communities featured as the top listing on those comparison websites paid to gain that placement, not necessarily earning it because it's the best option.
According to RealPage, only 39% of Gen Z renters would rely on an Internet Listing Service during their apartment search—the lowest among all other age groups cited (younger and older millennials, Gen X).
Gen Z's unique distinction from other renter groups is their desire for authentic online experiences less controlled by how much advertisers pay but by where, how, and when a product catches their attention.
For communities that commonly attract Gen Z renters, creating authenticity with your online marketing presence may be more impactful than simply paying for the top packages on multiple ILS websites.
Don't be afraid to grow alternative organic sources, like your social media pages, to connect younger renters to your apartments.
Gen Z renters are comfortable searching for apartments with AI technology.
Another distinction between Gen Z renters and other age groups is their comfortability with using AI tools during their apartment search.
In the study, 23% of Gen Z renters say they prefer communicating through an online chat (presumably with a chatbot), while 9% would compare apartment communities from an AI-generated search like Google's Gemini or ChatGPT.
Chatbots are becoming a staple of apartment community websites. Though chatbots present some design and user experience problems to the website itself, it's hard to ignore their impact on leasing teams. Chatbots enable 24/7 leasing communication and, when appropriately utilized, help leasing agents prioritize stronger leads over others.
Since chatbots are also a familiar tool to what is about to become the largest generation of renters in history, the benefits of adding one to your website may outweigh the drawbacks related to design and user experience for this demographic.
Regarding AI-generated search, multifamily marketers understandably have concerns about their communities' visibility in search results.
Apartment marketers generally attempt to gain more visibility online by targeting specific, relevant keywords for their communities' digital advertising campaigns, like 'pet-friendly apartments in Denver,' because that is a very typical search term a prospective resident may use.
While AI-generated search tools are relatively new, their ability to cater to searchers and deliver results that cut through traditional models, like Google's standard search, matches the level of control Gen Z renters crave as they look for an apartment to rent.
An AI search is typically more conversational by nature. For example, a prospective resident using AI may enter (or speak) a search prompt like "Show me two top-rated apartment communities in Denver that allow large breed dogs."
Why the difference? Unlike a regular search engine results page, which ranks relevant links to websites that are most relevant to the searcher's query, AI can process multiple variations of search results according to what the searcher wants.
Below is an example result from Gemini, which uses the searcher's prompt to influence how it shows results.
While AI-generated search tools are relatively new, their ability to cater to searches and deliver results that cut through traditional models, like Google's standard search, matches the level of control Gen Z renters crave as they look for an apartment to rent.
But take heart—it still relies on information and content directly from essential elements like a community's website, Google Business Profile, and targeted keywords in marketing messaging. Don't change what you're doing with those things!
Gen Z renters prefer real testimonials.
In that RealPage study, 27% of Gen Z renters, compared to other age groups, prefer to talk, text, or message a current tenant about their living experience in their apartment communities. This aligns somewhat with how younger renters see the ILS model; they also see through 'sales-y' marketing messaging.
Capturing the interest of Gen Z renters relies on letting actual customers do some of the selling for you by featuring them on your community's website or in its social media strategy.
It's also probably why 24% of Gen Z renters would attend an event at your apartment community to mingle with current residents and assess the property.
A real testimonial from a current resident is far more authentic and influential to younger renters as they decide which apartment community is best.
From a marketing perspective, capturing the interest of Gen Z renters relies on letting actual customers do some of the selling for you by featuring them on your community's website or in its social media strategy.
Summary
Gen Z renters are changing multifamily marketing norms by valuing authenticity, embracing AI technology, and emphasizing real testimonials when searching for apartments.
Multifamily marketers must adapt strategies to cater to these preferences to attract and engage this demographic effectively—the largest group of renters in United States history.