Johnson County Rental Market

[Zach Joyce]

Hey BP Community,

Wanted to drop in with a quick rental market update from the perspective of a property manager actively working in Johnson County, KS (suburban KC area). If you’re holding or considering buying rental property in this market, here's what we're seeing on the ground as we move into Q4 2025.

📍 Market Snapshot (Fall 2025)

• Occupancy: We're maintaining 95–96% occupancy across our residential portfolio (SFRs, duplexes, small multis).
• Rent Growth: Up roughly 4–4.5% YOY, but the pace has definitely slowed since the 2022–2023 surge.
• Hot Spots: Overland Park and Lenexa remain strong. Olathe is still solid but seeing more new supply pressure.

That said, Class A and Class B units are leasing slower than last year, especially when priced aggressively. Renters are value-conscious again.

💡 Key Trends We're Watching

1. Tenant Behavior Shift

• Applicants are generally strong (stable income, good credit), but budget sensitivity is up.
• Many renters are opting for longer-term leases (12–24 months) for stability amid rate and inflation uncertainty.

2. Leasing Incentives Are Back (Sort Of)

• Newer multifamily builds in the area (especially in Lenexa and Shawnee) are offering concessions—think 1 month free, waived app fees, etc.
• We’re advising owners of B-class properties to stay competitive without racing to the bottom.

3. SFRs Still Winning

• Single-family homes in top school districts (Blue Valley, Shawnee Mission) are leasing quickly and often with multiple applicants.
• Families are opting to rent longer while waiting out high interest rates and elevated home prices.

🧾 Ops & Management Notes

• Maintenance costs: HVAC, roofing, and insurance are our biggest pain points right now. Vendors are booked out longer, and rates haven't dropped much despite market cooling elsewhere.
• Turn costs are stable but trending up for mid-tier homes if you're doing flooring/paint on every move-out.
• Evictions are still low, but we’re watching for signs of payment fatigue among tenants stretching budgets.

🏗️ Investor Angle

If you’re actively investing or managing rentals in Johnson County, KS:

• Cash flow is still achievable, but you have to buy right and manage tight.
• Avoid relying on aggressive rent projections—flat to modest growth is a safer assumption for 2026.
• Don't underestimate the impact of quality schools and proximity to tech/business parks in OP and Leawood.

Happy to share more detailed submarket info or KPIs if you’re evaluating deals in the area. Always good to connect with fellow operators and investors on BP.

Anyone else working in the KC metro or Johnson County? What are you seeing?

Cheers,
Zach
Keyrenter Overland Park | Johnson County, KS/KC Metro/ KCMO
🏘️ Managing SFRs, small multis, & portfolios