Question · Q4 2025
Jesse Ledwitz questioned the discrepancy between American Homes 4 Rent's October expectations for an inflection point in seasonal leasing activity and the subsequent sequential decline in occupancy in November, December, and January. He also asked about the renewal rent growth falling approximately 70 basis points into January.
Answer
COO Lincoln Palmer explained that Q4 2025 was challenging for visibility, with demand moderation and an unsustainable pickup in November. The company adjusted its pricing strategy, leading to slightly negative new lease rate growth in Q4. He noted that the current focus is on building occupancy through peak season, supported by new lease rate growth, and that a slight moderation in renewals was a strategic decision to support retention, with full-year renewals expected around 3%.
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