In the much anticipated tenant survey report 2016 from LSL, a leading provider of residential property services, some revealing facts about what tenants really want have been unveiled. Before we get into the detail of the key findings from this survey, let’s set the scene a little….
In the UK around 20% of households fall into the Private Rented Sector (PRS). That represents over 4.5 million households and this sector is forecast to grow further still over the next few years. The categories of people who tend to fall into the rental sector include young people who are not on the property ladder yet but have aspirations to own their property, people who are struggling to get on to the property ladder because of their income and the deposits required, people who prefer renting because it fits in with their lifestyle and older people who may have reconciled to the idea of renting because of their income or a change in circumstances.
LSL’s tenant survey took place in February 2016 and covered 36,500 households across the UK so it was a very sizeable sample. Key findings from the survey include the following:
- With regards to the property itself, the quality and condition of the property was seen as the most important factor, followed by having a good, attentive landlord and then value for money.
- Virtually all tenants cited maintenance, parking and external storage as the top 3 services they would expect to be included in their monthly rent.
- 52% of tenants indicated that they would like to buy in the future, with 35% being undecided.
- 60% would consider borrowing money for a rental deposit and paying back through a monthly rent addition.
- Over 50% of tenants considered communal spaces to be important.
- 64% of tenants indicated that they would participate in communal activities
- 61% of tenants would be interested in an online portal to support the communication between the landlord and tenant.
- 81% stated that renting fitted in with their lifestyle
- Young and independent tenants cited that 1 to 1.5 years would be their ideal length of tenancy.
- Older tenants cited that 4 years would be their ideal tenancy length
- 42% stated that their biggest concern with renting was the restrictions on creating their own home.
- 25% of tenants indicated that they would be prepared to pay more to have a pet.
- 27% of younger tenants cited they would pay more for high speed internet
The LSL survey throws up some very interesting trends in renting as peoples’ attitudes and aspirations change depending on where they are in the property lifecycle. For a younger audience, where renting is all they’ve ever known, the desire for properties that are tailored to their requirements are a very attractive proposition. This as seen rise to many purpose built city centre developments which tick all the boxes with regards to quality, proximity to amenities, internet connectivity and socialising. The demand for these types of properties is definitely out there and as much as £90 billion is currently being invested in the UK’s PRS sector.
To access the full report, please click here http://www.designsonproperty.co.uk/downloads/20160303