Lease-Up and Condo Marketing: Budgeting for Faster ROI

When it comes to multifamily development, marketing often gets treated as optional—a flexible line item that’s easy to trim. But let’s look at it from a different perspective: what if your marketing budget is actually the insurance policy for faster ROI and higher perceived value? 

A well-planned marketing strategy isn’t just another expense. It’s the engine that drives qualified leads, faster lease-ups, lower concessions, and stronger sales. When done right, marketing creates momentum that pays for itself many times over.

So, let’s tackle the million-dollar question - see what I did there?

“What should I spend on marketing a new development to see faster ROI?”

Here’s our proven formula:

• For lease-ups: 0.50% of the project value.
• For condos: 1% of the project value.

Why these numbers? Let’s break it down.

The Velocity of Qualified Traffic

Speed and conversion rates are two key performance indicators when you’re taking a lease up to market. The faster you get leads, to apply, to approved, to lease signed,  the faster you hit stabilization, meet your NOI targets, and reduce carrying costs.

But in today's market, this momentum of qualified traffic eagerly converting doesn’t happen by accident—it requires a deliberate financial strategy and the right resources. Let's break it down.

What Effective Lease-Up Marketing Looks Like

To build momentum, your marketing plan needs to do more than check the boxes. While internet listing services (ILS) are valuable, they’re only part of the equation. There are multiple avenues you can take to ensure faster ROI through strategic marketing spend, but here is a great head-start: 

• A fully custom website that showcases your property and makes leasing effortless. 
• A professional brand system that resonates across all mediums with your ideal audience and their lifestyle motivations. 
• Digital and traditional marketing campaigns to generate awareness long before move-in dates.
• High-touch on-site branding that elevates the entire lifestyle differentiation of your property to target renters. Whether the construction site is bustling or the leasing office just opened its doors. 

These elements work together to create a property that not only stands out but captures the imagination of prospective renters. This is how you build early momentum and get ahead of your competition.

The Risks of Underfunding Lease-Up Marketing

Here’s where things can go wrong: when marketing budgets are cut, properties often default to bare minimum strategies. This can create a cascade of challenges:

• Fewer qualified leads, forcing leasing teams to spend time with unqualified prospects.
• Increased ad spend later to make up for lost time, poor performance, and visibility.
• Lost market share as competitors with better marketing strategies attract your ideal renters.

When done right, it’s an investment that keeps paying dividends, cycle after cycle and even after disposition. 

Condo Marketing: The Blueprint for High-Ticket Success

Selling condominiums is a different game entirely. Buyers aren’t just renting—they’re making a significant investment, both financially and emotionally. Your marketing must reflect that level of commitment and sophistication. Think about the feeling of leasing a sports car versus buying your dream car. 

Totally different motivations and buying decision factors, right? 

Why 1% of Project Value is Crucial

Condo buyers demand more than basic details; they want an experience that validates their decision. A 1% marketing budget allows you to deliver high-caliber everything at usually a smaller unit count than a 300-unit lease-up, for example. 

When the buyer can sense you spent the money to create a seven-star sales experience, it translates to faster sales, fewer unsold units, and a higher dollar per square foot. 

The Timing Advantage: Why Early Investment Matters

Regardless of whether you’re leasing apartments or selling condos, starting early is the golden rule. Campaigns launched 18-14 months ahead of completion allow you to:

• Build awareness, anticipation, and actionable pipeline.
• Adjust, adapt, and amplify your strategy for maximum impact.
• Drive demand well before the property is ready, which continues well after stabilization. 

This approach reduces carrying costs, shortens lease-up timelines, and positions your development as the market leader—not an afterthought.

The Smart Strategy for Multifamily Marketing

By allocating 0.50% of the project value for lease-ups or 1% for condos, you’re spending upfront but seeing 2x, 3x, and even 4x ROI. We know this is a proven approach to discerning marketing spend for multi-million dollar assets, especially in a saturated market.