Home ownership is on the decline, and the vast majority of millennials don’t plan on buying anytime soon. The millennial generation, comprised of people born between 1980 and 2000, grew up in a time of rapid transformation and technological progress. They are prioritizing freedom and flexibility when choosing a home and renting is an ideal option. Many see purchasing a home as an unrealistic financial checkpoint at this stage of their lives, mostly because of unaffordable housing prices and/or the burden of student loans. That, paired with their love for personal freedom, makes renting the most viable option. Plus, it allows them to explore more opportunities elsewhere and relocate with limited consequences.
Location is the top factor for millennials when choosing where to live. This group of renters is looking for neighbourhoods that are safe, easily accessible, and near to established commercial areas. Convenience is key for millennial tenants when it comes to deciding a place to rent, as it can reduce the hassle and stress of everyday activities. A house with commercial shops, supermarket, eateries, cafe, coin laundry, post office, 24-hour convenience store, cinema, or even a mall within walking distance will definitely be able to attract more potential tenants. Connectivity to major commercial hubs and highways is also a plus point for landlords looking to rent out their properties.
While traditionally property owners and landlords have been known to say “no” to pets, this is actually one of the most important features millennials look for. Many millennials regard pets as part of their family and take pet ownership seriously. Restricting pets in a lease can diminish the pool of potential renters drastically (and consequently, profits). You could consider separating your units into pet-friendly and non-pet-friendly to attract both types of renters. You might also want to include certain provisions in the contracts to ensure you are compensated in case any damages occur.
Millennial renters value convenience, especially when it comes to transportation. Those who own cars want to make sure they have a safe and easy place to park it. Properties that include a designated parking bay have huge appeal simply because of their reliability. You can also include facts about public transportation options, walking routes to nearby stores, and off-street parking alternatives when marketing your rental property.
Many millennials also prioritize green-living, so ensuring your property is environmentally friendly is important. Installing energy-saving light fixtures and energy efficient appliances is another added bonus, as this will help reduce power usage and subsequently electricity bills. Even having separate bins for waste separation could be a dealbreaker. A survey found that more than two thirds of millennials ‘buy as many eco-friendly products as they can’ and are willing to pay more for products and services from companies that promote sustainability, which could include renting a property that they deem to be more eco-friendly.
In addition to loving flexible short-term contracts, millennials are also lured into rental properties due to extra amenities such as entertainment and smart technology. Pay extra attention to things like interior design and technological features that your millennial client will use. Remember, millennials have a fast-paced lifestyle, heavy workload, and hectic schedule, so it’s important to include things like fast internet connection, easy communication services with their landlord via instant messaging or calls, and an online way to report maintenance issues with instant feedback. Consider installing smart home appliances too, if your budget allows. You might also want to consider installing appliances such as a washing machine, remote controlled fan and light, air conditioning, and cooking facilities.
Are you part of the millennial generation? What factors do you consider when renting a property? Or if you are a property owner/landlord, what amenities do you include in order to attract potential tenants? Share with us your thoughts!