SplitSpot’s 2022 Predictions for the Apartment Rental Market

Reimagined spaces, population sprawl, and office conversions will define the next year – and beyond

Every few years, there’s an event that radically changes the way we think about the housing and apartment rental market.

The founding of AirBnB in 2008 promoted a whole new category for short-term vacation rentals. Around the same time, the housing market crash rocked the financial sector (anyone seen The Big Short?). COVID’s emergence in early 2020 turned our bedrooms into home offices and our city condos into cabins in the country.

So what’s next? We’ll try to point you in the right direction.

At SplitSpot, we’re more than just a flexible room rental platform: we’re your friendly authority for all things apartments. We’re on the front lines of the apartment market every day. Last year, our team coordinated thousands of virtual showings, matched over 1,000 roommates, and increased our room selection by 300% across Boston, NYC, Washington D.C., and Seattle.

Let’s put all of that experience to use! We’re using our notes, observations, and lessons learned to make six predictions for what to expect from the apartment space in 2022 and beyond:

The pandemic accelerated tech integration for everyone. If the Department of Motor Vehicles can shift to online operations, anything is possible, right?

Landlords and property owners will start investing in smart technology more frequently. Virtual showings, keyless entry, and paperless billing will become the norm. Tenants and landlords alike will gain flexibility and interact in new ways.

1. Landlords will embrace smarter tech integration.

The pandemic accelerated tech integration for everyone. If the Department of Motor Vehicles can shift to online operations, anything is possible, right?

2. On-demand apartments will become more common.

You found your dream apartment at a reasonable price. Awesome! Everything else should be easy, right?

Nope. You’ve now got to lug your furniture down the stairs or elevator, rent a moving truck, and buy a six pack (or two) for your friend who lends you a hand. Wouldn’t it be easier if your new apartment was turnkey? We see a trend towards pre-furnished apartments that offer more flexibility for renters.

Pro tip: on SplitSpot, some of our flexible leases come fully furnished. Make sure to filter by “Furnished” on our rooms page to view them all in one place! Or rent furniture with our partner Brook Furniture Rental.

3. Small cities have their moment.

Cheers to the little cities! A Stanford University study of the 12 most populous cities in the U.S. finds that 15 percent of the residential and commercial population moved out of the city center from 2020-21.

Where did those tenants go? Some went to suburbs, but many others migrated to smaller cities that offer more space and value for apartment renters. Demand in the big cities hasn’t gone away, but we’ll likely see a less concentrated population in the coming years.

4. Say hello to “apartment nomads.”

Historically, people have been tied to a singular location because they need to commute to the office everyday. Not anymore!

The nomad lifestyle isn’t entirely new, but the remote workplace has spiked interest in exploring new cities. Signing a 12-month lease won’t work for these city-hoppers, so new housing options with turnkey amenities and flexible leases will gain prominence.

5. Commercial space will be turned into residential units.

Those downtown office buildings aren’t getting the love they deserve anymore: office building vacancy rates are hovering around 20% – higher than the peaks we saw during the 2000s financial crisis.

Why not turn those high-profile spaces into apartments? Sleeping downtown won’t have to mean you pulled an all-nighter to get those reports in – you could be snoozing in your new city center apartment!

6. We’ll see a trend towards fewer bedrooms and more home offices.

As many can attest to, it doesn’t feel all that natural to spend your work day in the same room as your bed. Traditionally, multi-room apartments were hard for landlords to fill, because you needed a neatly packaged group of multiple roommates. In 2022 and beyond, rental groups of one or two people will be renting out 2-4 bedroom apartments to make room for a home office.

*Bonus Prediction: SplitSpot will help you find your next apartment.

Need some more room for that home office? Looking to explore a new city while you WFH? SplitSpot’s here to solve your housing headaches.

SplitSpot is a room rental platform that helps renters quickly find an apartment with a flexible lease, low upfront costs, and pre-vetted roommates. We’ve got hundreds of units and an on-call team ready to take command of the apartment search for you.

Filling out our rental application takes just five minutes! Plug in your info to help us get started on finding your perfect apartment fit.