Most Likely to Rent – All Property Types
Young adults are the most likely demographic to rent a home. This is applicable in almost every market across the country. Most households under the age of 25 rent their homes, according to recent research by Harvard University’s Joint Center for Housing Studies. One reason is that many young people are currently at a phase of life characterized by increasing mobility, shorter career stability periods, and frequent relationship changes. The hassle and expense of home ownership at this point sometimes make renting a more practical option.
The rental market is dominated by young adults, but there are significant numbers of renters of all ages. The same survey found that while one-third of people over 40 and one-fifth of people over 55 do not currently rent their homes, two-thirds of those aged 25 to 30 continue to rent their homes. Although a significant minority still chooses to purchase rather than lease, that minority has been decreasing in recent years. Renting is a popular option for retirees who do not want the responsibility of home maintenance or the financial hazards associated with a fluctuating housing market.
Most Likely to Rent Single-Family Homes
It is no secret that people of all ages rent homes, and the age range of the most prevalent renter demographic may fluctuate depending on where you live. It is also true that some areas have greater demands for particular types of rental properties. For instance, single-family rental homes prevail over all other types of rental properties in the West and South. On the other side, multifamily rental properties predominate in the East and, to a lesser extent, the Midwest.
This implies that rental property owners must be aware of the most in-demand types of rental property in their area, as well as the age ranges of their target market. Most people who rent a single-family home do so because they’re looking for more space, want an outdoor area for their pets, or decide to raise their children in a suburban atmosphere. Your single-family rental property, however, may still be in demand among retirees or young single individuals in college towns, popular retirement communities, and similarly unique regions. Therefore, knowing the needs and wants of your target demographic is important to keep your rental property rented.
Understanding your local renter demographic is essential, but it can be difficult if your rental property is located in a rural or developing area. If this is what happens to you, it can be helpful to enlist a local rental market expert to help you successfully prepare and market your rental property. At Real Property Management, we have the experience and expertise to help you understand your target market and ensure your rental property is leased to qualified tenants. Contact your local Real Property Management office to learn more.