John Krpan, CEO – Krpan Group.
In my years observing the rental real estate industry in Canada, it has become clear that each generation brings its own values, motivations and expectations to the market. Today, we are witnessing one of the most significant shifts in recent history as Gen Z and Millennials begin to shape the future of real estate. Their influence is not incremental; it is transformative, touching everything from sustainability standards to how rental properties are purchased, built and designed.
Values That Shape Decisions
For younger generations, sustainability is not a marketing term or an optional feature—it is central to decision-making. Energy-efficient systems, environmentally responsible materials and smart technologies are now prerequisites essential for serious consideration. Properties that fail to meet these standards risk being overlooked entirely. In this way, the younger generations are not only expressing their values but also setting a new baseline for the industry at large, one that rewards accountability and innovation.
A Digital-First Experience
Technology has always been woven into the daily lives of Gen Z and Millennials, and they expect the rental real estate process to reflect that reality. There is no longer an option for it not to be digital first. Virtual tours, digital documentation and real-time communication are no longer conveniences; they are requirements and expectations. Developers who embrace this digital-first approach will find themselves aligned with these expectations. Those who do not will quickly fall behind in both visibility and trust.
Redefining Community
Perhaps the most profound change I’ve come to understand is in how Gen Z and Millennials define the concept of community. Traditional notions of large suburban properties are giving way to preferences for vibrant, walkable neighborhoods, smaller but highly functional living spaces and access to shared amenities that support wellness and connection. These generations are not necessarily prioritizing square footage, but flexibility and purpose.
At the same time, affordability remains a defining challenge. Across Canada, many Gen Z and Millennial renters feel the pressure to “get in” the market, while also knowing how tough that first step really is. As a result, new paths are emerging, from co-buying with friends, to getting a boost from family, to exploring rent-to-own options that make the transition from renting to owning more realistic. These creative approaches reflect the resilience, resourcefulness and optimism of a generation that still wants a stake in the housing market, even when the landscape feels challenging.
A Future Already Taking Shape
What stands out to me most about Gen Z and Millennial buyers is their resourcefulness. Their ability to adapt and innovate is shaping not only their own futures but also the strategies of developers, lenders and real estate professionals across the country.
Looking ahead, it is evident that the future of Canadian rental real estate will be defined by these generations. Developers and industry leaders who respond with sustainable design, wellness-focused communities and a digital-first approach will thrive in this new landscape. The shift is already well underway. The question now is how quickly the rest of the industry is prepared to evolve and meet this new era of expectation.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?