There was a great presentation by REIN analyst Melanie REUTER this weekend, and provided some good insight in to who landlords should be targeting and how to run the business in the most profitable way. Here are my notes of the presentation:
-Talks about who the new tenant profile is in Canada
-Millennials(ages 20-33) are the renters now so what do they want?
-Provide Millennials with what they want for good ROI
– they have more spending power than their modest incomes(parents, use of credit)
– they want to live in social areas: bar, parks, shopping, entertainment, museum, etc…. for example in Downtown Kamloops
– they have the best education but not best job prospects
– this generation wants the best, doesn’t care about owning a home, doesn’t care about size but wants location, fast internet, common space
– are interested in energy efficiency
– they will buy in the area where they last rented(like Downtown Kamloops)
– they like core of the city, near transit
– landlords will be renting to many senior (27% of renters) tenant profile or to a millennial(27% of renters)
– for profits: think of student rentals, or super suites for seniors(like what Derek Peever is doing)
So there you have it, target Millennials(people my age :P) for a great ROI!
Until next time,