Shifting Priorities in the Rental Market: Insights from RentRedi’s 2025 Survey

New York, July 22, 2025 — A recent survey conducted by RentRedi, in collaboration with BiggerPockets, reveals significant changes in landlord priorities for 2025. As the rental landscape evolves, landlords are shifting their focus from portfolio expansion to property improvements and operational optimization. This article delves into the key findings of the survey, highlighting trends in investment strategies, renovation spending, and business priorities.

Declining Acquisition Plans

The survey, which followed up on a similar one conducted in late 2024, indicates a notable decline in the number of landlords planning to expand their portfolios. The percentage of landlords intending to buy new properties dropped from 67% in November 2024 to 53% in June 2025—a 14-point decrease. Conversely, the share of landlords with no plans to change their portfolio rose from 32% to over 43%. This trend suggests a cautious approach among landlords, with fewer than 1 in 25 indicating plans to sell a rental property this year.

Regional Insights

Regionally, the West experienced the most significant shift, with landlords reporting a rise in the number of those not planning to make portfolio changes, increasing from 39% to 53%. In contrast, the Northeast remains the most acquisition-oriented region, with 57% of investors still planning to buy property in 2025, surpassing the national average.

Size Matters

The survey also revealed differences based on landlord size. While all portfolio sizes saw a decline in buying plans, larger landlords (those with 20 or more units) remain more active than their smaller counterparts. Over 20% of large landlords plan to both buy and sell property this year, compared to just 5% of small landlords. Nearly half of small landlords reported having no plans to change their portfolio, compared to 38% of large landlords.

Increased Investment in Property Improvements

A significant shift is evident in home improvement plans. As of June 2025, 35% of landlords expect to spend more than $20,000 on property upgrades, up from 27% in November. Nearly two-thirds of respondents anticipate spending over $5,000 in total. Large landlords are leading this trend, with nearly two-thirds expecting to invest more than $20,000, a substantial increase from 36% in November. In contrast, small landlords remain more conservative, with nearly half budgeting under $5,000.

Regional Spending Trends

The Midwest and West saw the most dramatic increases in high-dollar spending, with the share of landlords expecting to invest more than $20,000 rising by over 10 points in both regions. However, a joint survey with BiggerPockets revealed that half of landlords have paused some or all home improvement projects planned for 2025, indicating a diverse range of financial strategies and priorities based on portfolio structure and resources.

Barriers to Acquisition

A separate survey conducted in July explored the reasons behind the declining acquisition plans. More than half of landlords cited property prices as the primary barrier to buying, while nearly a quarter pointed to rising interest rates. Other challenges included slow revenue growth and the time commitment required for managing additional properties.

Goals and Motivations

When asked about their primary goals for using tools or resources in their rental business, over one-third of landlords indicated that increasing revenue was their top priority. Another one-third emphasized the importance of saving time and effort, followed by reducing costs and increasing property value.

Ryan Barone, Co-founder and CEO of RentRedi, stated, “With tools like RentRedi, landlords are managing their properties more efficiently, even as they face evolving challenges. From automation to mobile access to financial reporting, we’re focused on giving landlords the control and visibility they need to make smarter decisions—whether they’re expanding, renovating, or holding steady.”

Consistent Motivations Across the Board

Despite the shifting landscape, landlord motivations remain consistent. Income generation continues to be the primary reason for managing rental properties, selected by over 40% of respondents. This is followed by long-term investment and financial freedom. Larger landlords are particularly focused on income, with more than half selecting it as their primary goal, compared to about one-third who emphasized long-term investment.

Low Priority on Diversification

Interestingly, diversification appears to be a low priority for landlords in 2025. Approximately 40% of landlords indicated they do not plan to diversify their portfolios by property type or location, with another quarter unsure. Just over one-third expressed plans to diversify in any way this year.

Conclusion

This report is part of RentRedi’s ongoing initiative to provide real-world insights from landlords and property managers through data, direct surveys, and collaborations with trusted communities like BiggerPockets. As the rental market continues to evolve, these insights will be invaluable for landlords navigating the complexities of property management.

For more detailed data insights and survey results, visit RentRedi’s Rental Market Insights.