While the typical industry reaction to rent growth decline is to batten down the hatches, operators are finding that focusing on resident renewals and identifying new NOI strategies within day-to-day operations better positions them to weather the storm.
The top storylines in multifamily this week are using automation to help onsite teams, alternatives to security deposits, the importance of cybersecurity, student housing making a comeback, LMC becomes Quarterra Multifamily and creating a better apartment search.
The insurtech start-up LeaseLock is breaking new ground. The company has officially surpassed $1 billion in leases insured, an impressive milestone that comes only five months after the company achieved $500 million in leases insured.
For operators, security deposits are a major administrative hassle, and often provide inadequate defense against rent loss and damages—a challenge which has been exacerbated by economic uncertainty during the COVID-19 pandemic. Deposits present a significant financial burden.
Deposit-related legislation has taken on a new dimension. Governments are passing bills that move away from costly deposits completely. A Cincinnati law says that if an operator requires a security deposit, a deposit alternative or payment plan must likewise be offered.