City centre rental properties are showing continued demand from mainly young professionals, who are prioritising living close to work or university.
The comparison site, GoCompare has recently gathered information on tenants and landlords throughout the UK. The tenants were asked about rental properties and what they see as important, this data was then collected and compared to what landlords were advertising on Rightmove.
This information on tenants comprised of 1,000 renters and was collected over a one month period, and it then was compared to 1,546 rental listings on Rightmove. Despite being a small amount of the entire UK property market, it helps show the importance of targeting the correct location and amenities to entice tenants.
What rental features millennials prioritise
In the survey by GoCompare, most of the millenials recorded stated that renting a property close to their work or university was something they’d prioritise, a priority commonly seen in city centre locations.
47.83% of renters aged 18-24 said that living near work or university was extremely important when looking for a property, while 44.33% of renter aged 25-34 said it was partially important. Alongside that, 44.44% of all the renters surveyed said that being close to restaurants, bars and social activities is of moderate importance. Young professionals especially prioritised this with 50.43% of those aged 18-24 and 50.58% of the 25-34 seeing this as partially important.
The collected data suggested that younger renters desire to rent one or two-bedroom flats or homes instead of studios. 40% of tenants aged 18-24 and 45.38% of tenants aged 25-34 stated that the number of bedrooms in a rental property played a big part when deciding. Furthermore, it’s been estimated that eco-friendly investments are more likely to entice more millennials to your property, and the majority of young adults aged 25-34 prefer unfurnished to furnished rentals. When operating in the property market it’s important that you cater to tenant demands if you wish to attract them.
In conclusion, tenant demand has grown while the supply has shrunk, making holes in the rental market. Multiple studies have shown that city centre living is hugely popular amongst millennials, bringing to light why buy-to-let investors need to be focusing on modern accommodation in city centres.