There's a phrase our CEO Kevin Jacobson hears constantly from multifamily operators right now: how do we do more with less?
Given his role, Jacobson has a front-row seat to the pressure operators are under in 2026 — flat rent growth, rising insurance premiums, wage inflation, and elevated interest rates all colliding at once. "Flat revenue growth and rising operating costs are putting a ton of pressure on NOI," he says. "There is more scrutiny on operating budgets, a greater focus on fee income."
What strikes him isn't the pressure itself. It's that many operators are still trying to solve a systems problem with an outdated answer— adding staff, adding oversight, adding manual checks — rather than rethinking how the work gets done.
Here’s what approaching doing more with less in 2026 looks like in practice.
The NOI Squeeze Is Forcing Smarter Operations
Multifamily owners are feeling pressure from both sides of the ledger. On the income side, rent growth that was once underwritten at 3–5% annually has flattened in many markets, with 2026 growth forecasted below long-term averages. On the expense side, operators are contending with rising insurance premiums, wage growth, persistent inflation, and elevated interest rates.
The answer isn’t simply cutting costs. It’s building smarter systems that increase property revenue while reducing friction inside your portfolio.
Operational Efficiency Is No Longer Optional
According to a 2024 National Apartment Association survey, 74% of owners rank operational efficiency as their top challenge, while 62% cite maximizing revenue and profits as a priority.
When teams are buried in manual processes — tracking renters insurance certificates, verifying policies, processing paperwork — they aren’t focused on retention, leasing velocity, or the resident experience. Every hour spent on preventable administrative tasks erodes margin.
Today’s renter expects seamless digital interactions. Online rent collection, fast communication, and instant verification aren’t competitive advantages anymore, they’re expectations.
As Squire Aschinger, VP of Product at Foxen, says, “If you don’t have the ability to collect rent online and interact digitally for simple tasks, that is a massive disadvantage.”
Renters insurance compliance is a perfect example. Manual COI tracking can take days or even weeks. Automated, AI-enabled compliance platforms can verify coverage in minutes and continuously monitor for lapses, ensuring 100% compliance without increasing staff workload.
When these processes are automated, teams can redirect their time toward what truly drives NOI: occupancy, renewals, and resident satisfaction.
The Best Technology Doesn’t Just Save Money — It Makes Money
In tighter markets, adding new expenses without demonstrable ROI is a tough sell. That’s why leading operators are prioritizing partnerships that generate ancillary income in ways that create real values for their renters rather than simply adding line-item costs.
Joe McDiffitt, Managing Director at Coastal Ridge Real Estate, explains, “We’re focusing on any opportunity to increase revenue through creative partnerships, putting good expense controls in place.”
Across Foxen’s waiver and rent reporting platforms in 2024, multifamily clients generated more than $13 million in ancillary income. Coastal Ridge alone reported $630,000 in revenue from the waiver program, alongside 81% enrollment and zero renters out of compliance.
The takeaway is simple: the right proptech partnership should protect your assets and increase property revenue.
Retention Is the Quiet Multiplier of NOI
With record multifamily deliveries in many markets, lease renewals are more valuable than ever. Every renewal reduces turnover costs, stabilizes revenue, and preserves marketing dollars.
Research shows residents consistently prioritize practical, tech-forward amenities over capital-intensive upgrades. High-speed internet, seamless digital processes, and financial wellness tools often deliver more perceived value.
Rent reporting is a prime example. When residents can build credit simply by paying rent on time, it creates both behavioral alignment and marketing differentiation. Research shows that 61% of renters are more likely to rent from a property that reports payments to credit bureaus, and 83% say they would be more likely to pay on time if payments were reported.
For operators, that translates into stronger on-time payment behavior, improved retention, and an additional ancillary revenue stream — all without significant capital investment.
Early Adoption Creates Compounding Advantage
Operators who adopt strategic solutions early often capture faster ROI, greater operational efficiency, higher resident satisfaction, expanded ancillary income, and stronger competitive positioning.
As Jacobson notes, “You can no longer achieve results by throwing people at the problem… AI will be another source of potential efficiency and margin expansion.”
In a margin-sensitive industry, small operational advantages compound over time.
The 2026 Formula for Maximizing Multifamily NOI
The operators succeeding in this environment are doing three things:
- Automating to free up capacity. Remove manual processes from compliance, verification, and communication so teams can focus on retention and leasing.
- Partnering strategically. Prioritize proptech partnerships that generate revenue, not just efficiency.
- Differentiating on resident value. Invest in amenities that residents actually want and that reduce turnover — without requiring heavy capital.
None of this is simple. But in a market where rent growth can't bail out operational weakness, the operators who build better systems win. For detailed case studies, revenue insights, real-world performance data, and guidance on evaluating proptech partnerships, download the Maximizing Multifamily NOI: Keys to Closing the Revenue Gap in a Competitive Market guide here.
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