Millennials have recently taken over as the largest generation in the United States. They have a lot of influence in today’s economy, from retail to rental properties. Business owners with a vested interest in millennial-friendly business should take note.
Landlords, in particular, should consider the needs of millennials when renovating and marketing their properties. In fact, nearly 60 percent of tenants are under the age of 40, and they’re the largest group of renters to date. What’s more, nearly 80 million millennials are expected to hit the rental market in the very near future.
For that reason, it’s important for landlords to know what makes the millennial renter tick. If you want to keep your units full, you’ll cater your apartment to be friendly for this picky age group. Here are a few things that millennials are looking for in your apartment.
- Smart-Home Features
Millennials love their technology, and if your apartments offer smart home tech in the house, you’ll be on their A-list.
“This generation is one of the first to be utterly immersed in technology, and they want it everywhere,” explains an article from one of the best Houston home rental agencies, Green Residential. “Aside from being digitally connected through Internet and cell service, ideal millennial rental properties will have smart home automation… A property doesn’t need all [the smart tech] to be appealing to millennials, but one or two of these amenities won’t hurt.”
- One and Two Bedrooms with Simple Layouts
Room sharing, whether with a partner or a platonic roommate, is very common among millennial renters. They prefer what the rental community nicknames 1 BHK and 2 BHK units. That means, they prefer one or two bedrooms with a single hall and single kitchen. The simplicity is highly appealing to them.
“The families and singletons who come to us have very nuanced preferences. They demand…a 1BHK to 2BHK [layout]. It’s either small families or bachelors moving in with their friends. The latter share the rent. The size of a 2BHK is generally 1200 sq ft to 1500 sq ft,” says Pallav Pandey, CEO of a company designed to help millennials find apartments.
If you own a property that meets these specifications, consider these sizes and layouts. They don’t need a lot of extra space, but if you do have an extra bathroom, renters often don’t mind paying a little extra.
- Easy Maintenance
Millennial renters prefer the lessened responsibility of renting. It’s a lot easier to call the landlord to make a repair than it is to worry about taking care of it themselves.
For that reason, when making renovations, consider materials that are easier to maintain.
“When designing for Millennials, keep in mind they understand that quality materials are important, and they favor granite or quartz countertops and clean looking finishes that are easy to maintain,” Michael Yitterberg, PHD, AIA, LEED AP said in an article for Building Design and Construction.
Yitterberg also recommends flooring that’s easy to keep clean and landscaping that’s included in the price of the rent. The more work you do for them, the better.
- Urban Location
One of the most important things to millennial renters is an urban location. They want to be in the middle of everything, with close proximity to work, grocery stores, banks, pharmacies, and other popular amenities.
“Most Millennials want to have a decent social life, meaning they want to have an option of spending their free time surrounded by friends at a fun and trendy place,” says Bill Gassett of Mass Real Estate News. “Therefore, the location is extremely important when searching for an apartment. They want their home to be located in a safe, yet trendy neighborhood where there is always something going on. Additionally, they also prefer to live in bigger cities and prefer to be located closer to ‘lively’ areas.”
Obviously, you can’t change the location of your existing property, but you can look in these areas for future investing. After securing such a property, make this a key point in your marketing efforts.
There are plenty of pros and cons to renting an apartment with pets, but when it comes to targeting millennials, the pros often outweigh the cons. Pet ownership among this generation is growing in popularity, and they actively seek properties that allow pets.
The good news is, allowing pets could be reasonable grounds for raising the rent.
“Look around your area. If there are not a lot of pet-friendly properties, tenants will have fewer options, and you may be able to charge slightly higher rents if you allow pets due to the increased demand,” says an article from The Balance.
Allowing pets can mean a higher profit and happier tenants, a win-win situation in the race to land millennial tenants.