In this week’s collection of multifamily reads, we get a closer look at how renters make decisions. First, we examine the results from Village Green’s recent resident survey. Unsurprisingly, the national apartment manager found that cost and location are the two greatest factors influencing a decision to lease. In third place was a ‘community environment’, which 49% of respondents said was the most important element impacting a leasing decision.
Technology is starting to play an important role in deciding where to lease — and it’s not just about internet speed. Bisnow shares an update on how smart home technology is making its way into multifamily. It starts with best-in-class Wi-Fi and ends with automated thermostats, lighting and coffee makers that learn your morning routine. Smart apartments are also expected to make their way into the seniors housing sector. Technology can aide seniors looking to age-in-place — a growing component of the small apartment market — and notify relatives or caretakers if something is amiss in a daily routine.
This week’s collection of articles ends with an examination of cap rate trends — a factor high up on the list of the market fundamentals investors use when weighing investment decisions.
via National Real Estate Investor – Sept. 1, 2017
“Three factors—rent, location and community environment—make up the top drivers of apartment leasing decisions among renters of every age and across geographic markets.”
via Multifamily Executive – August 29, 2017
“The homey look and feel of the community was the top response for millennials (62%), Gen Xers (66%), and baby boomers (61%).”
via Bisnow – August 27, 2017
“Often, the demand for new technology is driven by its ability to simplify tasks and make things easier. That is also true for smart apartments, which can help make residents’ lives easier and apartment access and control simpler.”
via ALEX Chatter – August 28, 2017
“Seniors are not a monolithic renter group, but rather have varying needs from early retirement to skilled care services. Small property operators must prepare for this generational demand as more seniors are choosing to rent.”
via Reis – August 28, 2017
“We see that the cap rates in most regions have changed very little except for the Southwest that has historically shown the most volatility.”