Renters are increasingly prioritizing energy efficiency and other cost-saving technology when selecting a home, according to findings from a recent survey by SmartRent, in partnership with Morning Consult.
Morning Consult interviewed nearly 1,000 renters at the end of July to get their perspectives on energy management trends across rental housing.
With rising utility costs, the majority of respondents, 92%, said reducing those monthly expenses is very or somewhat important when looking for a home. Over 63% of respondents reported a utility bill increase over the last year, with 35% of those experiencing hikes of more than $51 per month. In addition, 76% of respondents said they are very or somewhat concerned about their utilities increasing over the next year, adding to economic stress.
“The survey showed that renters are keenly aware of their utility spending, and they’re generally aware of the technologies that can help to reduce their energy consumption,” said SmartRent president and CEO Frank Martell. “It was also clear that they expect property management companies to help limit their utility bills through the use of smart-home solutions and energy-efficient property technologies. Meeting that demand is essential to attract renters, drive resident satisfaction and retention, and build trust between renters and management teams.”
The survey identified several energy-related technologies that respondents cited as potential influences on their decisions to sign or renew leases: energy efficiency, 69%; smart thermostats, 58%; and online energy trackers, 51%. The top dealbreakers for renters? Over two-thirds, 69%, reported the inability to control in-unit heating and cooling, and 68% cited high energy costs.
Nearly half of the respondents, 48%, noted they feel their property manager effectively communicates about their unit’s energy usage, while 44% said they believe their property manager effectively communicates and cares about helping residents reduce utility costs.
In addition, 32% of respondents said energy efficiency is a feature they would be willing to pay more rent for if reduced utility costs meant their overall spending remained the same per month. An additional 33% reported that they would pay more in rent if the unit is energy efficient and offers consistent savings.