As landlords, we often see our homes from the perspective of what we desire as an investment. But perhaps it’s time to pull back the curtain and investigate what tenants want in the homes they rent. Because, in the end, it’s all that matters.
The Rise of Enlightened Tenants
There is no getting around the fact that the Coronavirus pandemic affected almost every part of our lives. It certainly had an impact on physical and mental health, sociability, work life, relationships, and finances. But, it also has shown us how individuals see their homes.
During 2020 and 2021, people across the US spent more time in their homes than in any other two-year period in the country’s history, thanks to enforced shutdowns and remote working. Consequently, individuals got much more familiar with the benefits and drawbacks of the environments they live in and what they genuinely desire from a home. Because of this newfound epiphany, tenants are more demanding in the things that are important to them.
Previously, it was common for tenants to ignore flaws in a rental home. With work, family, and social obligations, many people, in the past, spent on average five hours each day are home, excluding sleeping. However, during the peak of the coronavirus pandemic, most people were spending up to 18 hours or more at home. The extra time at home provided ample time to consider what they like, dislike, need, and desire in a home.
As a landlord, you might see this change from unconsciousness to enlightened tenants as either positive or negative. Many landlords regard it as an annoyance, a shift in mindset that might negatively impact cash flow. However, it can be seen as an opportunity to improve your rental portfolio and gain a competitive edge in a market where tenants are ready to spend more money on the amenities they desire.
Tenants aren’t seeking over-the-top amenities and features while asking for a lower rent. For the most part, tenants are choosing to prioritize the features they want most above the cost of the rent. They simply want a nice place they feel good in that is safe to come home to every day.
Top Wants and Needs of Tenants
When you look at market trends and talk to potential tenants, what they want and desire is evident. Here’s a basic breakdown of what tenants are looking for:
Location, Location, Location
Location will always be an essential consideration. So, what type of location do people want?
Every market and community is different; however, there is a lot of interest in areas that have shops, grocers, and entertainment within walking distance. Additionally, quick access to public transportation is also important. We are finding that people have a high desire to live, work, and socialize in the same general area. Therefore, rental homes with walkability in these three areas are more in demand.
Security and safety
It’s no surprise that tenants want to live in a safe and secure area. These are essential needs for everyone. The wants and needs generally ranked above safety is access to food, water, shelter, and clean air to breathe. In addition, tenants want to feel comfortable where they are living, especially in the chaotic world we live in today.
Landlords prioritizing security measures can quickly increase their property’s value. Consider installing smart locks, doorbell cameras, sensors for windows and doors, and an alarm system with monitoring services if you don’t already have them.
Sixty-six percent of Americans report spending more time performing outdoor activities since the pandemic’s beginning. This reflects tenants’ growing preference for outdoor living areas.
Adding outdoor living spaces to your backyard may drastically improve demand and rental prices if you own single-family rental properties. Decks, patios, fire pits, outdoor kitchens, and grilling spaces are popular choices.
Adding common outdoor amenities like gazebos, outdoor cooking spaces, and green spaces to a multifamily building or apartment complex can help attract and maintain tenants.
Collaborative Coworking Spaces
With more and more people working from home, one study suggests that 35% of tenants are looking for coworking spaces close to home. In addition, many remote workers feel they are more productive away from home due to the distractions of everyday life. If you own multifamily properties, consider developing a business center or shared office space for tenants.
A Safe Living Environment
For many people, their health is the main priority in their life. In terms of housing, you may meet this demand by emphasizing overall cleanliness and the use of safe, ecologically friendly products (like low-VOC paints, air cleaners, high-quality air filters, etc. Make this one of your main areas in 2022 and beyond, and you’ll attract an entirely new set of tenants.
Solid technological infrastructure
Tenants’ screen and technology time has risen due to the epidemic. Streaming videos, video conference calls, streaming music, and gaming are all on the rise. And, because the majority of these activities take place at home, tenants are yearning for speedier internet access.
It will not go ignored if rental communities have a solid technology infrastructure. While this may not help you get tenants, it will certainly help you retain them.
Top Amenities Tenants are Searching for
Based on a survey of tenants and landlords performed by MillionAcres, tenants are willing to pay more for certain amenities and features:
- Convenient rental payment options.
- Parking for guests
- Flexible lease terms
- Good location near work and shopping
- New or updated property
- Safe neighborhood
- Security and safety features
- Accessibility such as ramps or elevators
- The latest in appliances
- Lots of space
- Central air
- All-inclusive rent to include utilities
Tenants are searching for convenience in life. The more versatile your options, the more you can charge. By providing what tenants want most, you will likely have higher retention, less turnover, and lower vacancy rates.
Real Property Management Consultants
Real Property Management Consultants provides comprehensive property management services to Cass County, MO; Clay County, MO; Jackson County, MO; and Johnson County, KS landlords. Our professional services include ongoing communication, comprehensive marketing, and advertising, thorough tenant screening and selection, full-service leasing, timely rent collection, regular property reviews, cost-effective and reliable maintenance, strict and compliant evictions, and comprehensive accounting. We hope you found this article on what tenants want in 2022 and beyond helpful. Would you like more information on how we can help your business? Contact us today to schedule a consultation.
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.