‘AI on the Rise:’ IREM Study Sees Adoption Grow

CHICAGO -- Artificial intelligence (AI) is reshaping industries around the world, and property management is no exception.

According to AI on the Rise, a new research study from IREM (Institute of Real Estate Management) and AppFolio, AI adoption among property management professionals has more than doubled in just 18 months, signaling a major turning point in how real estate management leaders drive operational efficiency, innovation, and results.

Between late 2023 and mid-2025, the percentage of property managers using AI tools climbed from 21% to 45%, while those with no plans to adopt AI dropped sharply—from 51% to just 20%.

"As the property management industry evolves, embracing technology like AI is no longer optional, it’s essential,” says 2025 IREM President Dawn Carpenter, CPM. “These results help IREM provide members with clear, data-driven insights on how AI can support property managers in making informed decisions. We thank our Industry Partner AppFolio for joining us in the development and execution of this important research for our members and for the profession.”

Significantly, the study found that companies promoting AI use are outperforming their peers. Seventy percent of firms that encourage AI use are more likely to say ROI has increased over the past 12 months. Twenty-four percent of these indicate a substantial gain of 10% or more.

While the outlook is promising, many organizations remain early in their AI journeys. Sixty-two percent of current users only began using AI in the past year, and most rely on general-purpose tools such as ChatGPT or Microsoft Copilot rather than industry-specific solutions.

Both IREM and AppFolio emphasize the importance of training, governance, and change management to maximize the benefits of AI. But the message is clear: AI is no longer a future concept—it’s a present-day competitive advantage.

For more than 90 years, our members have made us the world’s strongest voice for all things real estate management. IREM and its members are here to elevate the profession. For more, go to us. irem.org.
AppFolio is the technology leader powering the future of the real estate industry.

For more information, go to appfolio.com.