Attracting Gen Z Tenants to Your Multifamily Properties
Great amenities attract Gen Z multifamily renters
4 MIN. READ
There is a common story about millennials and Gen Z overwhelmingly preferring rentals to ownership. However, data shows that 87% of Gen Zers want to buy a home before turning 35. What this means is that multifamily managers have to work harder than they may have expected to win over this market. There are many factors to consider in attracting Gen Z multifamily tenants.
Why Gen Z is different
Born after 1995, Generation Z comprises a diverse and active population that has a unique outlook and mindset about life. While they share some characteristics with Millennials, their lives and world have been uniquely different from that of older generations. Let us look at a few facts regarding Gen Z. This population is:
- Most educated to date. — Gen Z is on track to be the most educated generation. Their high school graduation rate is higher and their high school dropout rate lower than the generations before them. Data show that 57 % of 18-21-year-olds from Gen Z are enrolled in a two-year or four-year institution of higher learning. In comparison, only 52% of millennials and 43% of Generation X at the same age were enrolled in college.
- Used to an on-demand economy and digital life. — Born in a digital age, Gen Z is the first generation to be born into a completely connected world. They have always known about the internet. This has shaped the way they view the world and how they interact with it. They are accustomed to an on-demand economy, and they appreciate efficiency when they are seeking service. Businesses that interact successfully with this generation understand that Gen Z are savvy customers who know what they want.
- Actively entering the property rentals market now. — Gen Z is pragmatic and financially minded. As they enter the multifamily rental market, they bring with them their wants and desires. Property managers who understand the needs of this generation will be ahead of the game as they try to court Gen Z multifamily renters.
- Looking for inclusivity and digital identity. — Since this generation is dependent on the internet, it is safe to assume they expect connectivity, ease of doing business via the web, and 24/7 connected access when they search for a place to live. They also desire a sense of community and commitment to sustainability. The properties that can foster this will be more attractive for Gen Z.
Understanding how Gen Zers operate and move is important. Learning what they want will help property managers to fine-tune and hone the features and services that this connected and vocal generation wants.
Attracting Gen Z multifamily renters
Multifamily property managers can take strategic action to appeal to Gen Z tenants. While the issues are not complicated, it will take commitment and resources to attract and retain these renters. Here are some key actions for property managers to take in appealing to prospective Gen Z multifamily renters.
- Recognize the prominence of smart technology and IoT. — The internet of things (IoT) has infiltrated our homes and has made aspects of our lives easier and more comfortable. Since Gen Z is already connected, they expect their homes to be connected as well. From smart security systems to thermostats, this is all second nature for this generation, so ensuring your properties are connected is a must.
- Focus on key amenities. — Because Gen Z tends to be social, they expect areas for meeting, connecting, and interacting. They also have embraced the work-from-home trend.
- Co-working stations — These are a big draw for this generation. Since they have embraced working from home, they will appreciate dedicated spaces outside of their living quarters that can accommodate their needs.
- Pet areas — Like their forebears, Gen Z love their pets and will lean towards properties that have dedicated spaces for their furry friends. Dog runs, pet supplies, puppy pool parties and more are big hits.
- High-speed internet — Ensuring that your renters have access to the fastest and most secure internet is essential.
- Incorporate agentless leasing and mobile credentials. — The COVID-19 pandemic has changed the way we interact as humans. It has also changed home buying and rental processes. Coordinating virtual walkthroughs has become a norm. Conducting lease signings and payments can all be done remotely via a web portal. This is perfect for Gen Z. They are built for this and can adapt quickly to the ever-changing dynamics in today's multifamily operations.
- Support green sustainability initiatives. — Gen Z are big advocates for the environment. They will appreciate and support multifamily properties that share the same passion and dedication. Having amenities like EV charging, solar panels, LED lighting, and a robust compost and recycling program will go a long way.
- Embrace technology. — Property managers who embrace technology will not only be able to support their choosy tenants but also benefit their employee base. Having the tools and software that simplify the leasing process, procurement process, and engagement aspect will create an efficient, more productive work environment. Such an environment will be better for both renters and employees.
- Acknowledge credit score growth. — Being pragmatic and with homeownership on their minds, Gen Zers focus on doing whatever they need to assist them in their homeownership pursuit. Property managers can help by reporting on-time rent payments to credit bureaus. Their Gen Z multifamily renters will appreciate this boost to their credit ratings.
Multifamily managers have a unique opportunity to attract a wide-ranging and diverse set of renters. Gen Zers are motivated, active, connected, and have a community-focused outlook. These are all great attributes for multifamily property managers to have in their renters. And with the help of automated software, streamlining operations at your properties will make this process easier.
Raiven has options
Raiven can help you acquire these new technologies that Gen Zers demand as well as appliances, maintenance supplies and other everyday purchases at significant discounts. In fact, our multifamily clients like Lyon Living, Core Realty and Oaks Property Management all realize 7% - 25% savings from top suppliers like HD Supply, Ferguson, Grainger, Graybar, Office Depot, and more, based on our aggregated buying power.
Raiven not only negotiates the lowest prices on equipment and supplies but also on services like EV charging station installations at your property.
Find out how Raiven can help position your portfolio to operate more efficiently, save money and attract the best renters!