To keep your rental property leased, you have to first identify your local renter demographics. As stated by the National Multifamily Housing Council, there will be about eight million more single-family rental homes between 2018 and 2030. To keep up with this demand, property owners and managers need to know who their target market is and what they’re searching for in a rental home.
Most Likely to Rent – All Property Types
Young adults are the most likely demographic to rent a home. This is applicable in almost all markets across the country. A recent research by Harvard University’s Joint Center for Housing Studies discovered that 78 percent of all households under the age of 25 rent their homes. This is partly because many young people are at a time of life marked by increased mobility, more flexible employment tenure, and fluctuating relationships. Nowadays, buying a home can be tricky and expensive, so most people are better off renting.
While young adults tend to dominate the rental market, renters of all ages are present in large numbers. The results of the same study found that two-thirds of those aged 25 to 30 still rent their homes, while one-third of people over 40 and one-fifth of people over 55 do not. Even though not everyone chooses to rent, a growing number of individuals have been doing so in recent years. People over 50 often choose to rent because they don’t want the inconvenience of home maintenance or the financial risks that come with a fluctuating housing market.
Most Likely to Rent Single-Family Homes
It is obvious that individuals of all ages rent homes, and the age range of the most prevalent renter demographic may vary contingent on where you live. It is also valid that particular types of rental properties are in higher demand in some places than others. Single-family rental homes, for example, are more prevalent than any other types of rental properties in the West and South, whereas multifamily rental properties are more common in the East and, to a lesser extent, the Midwest.
As a result, rental property owners need to know the most in-demand types of rental property in their region, as well as the age ranges of their target market. Most people who rent a single-family home do so because they desire additional room, want a yard for their pets, or want to raise their children in a neighborhood area. Your single-family rental property, however, may still be an ideal choice for seniors or young single individuals in college towns, recognized retirement communities, or other unique places. To keep your rental property rented, you need to know what your target demographic needs and wants.
Although important, it can be difficult to figure out who your local renter demographic is, particularly if your rental property is in a distant or developing area. In these cases, it can be advantageous to enlist a local rental market expert who can help you get your rental property ready and market it well. At Real Property Management, we have the knowledge and skills essential to help you understand your target market and make sure your rental property is leased to qualified tenants. Contact your local Real Property Management office to learn more.
We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.
