Survey details what top
multifamily property owners and operators need to know to attract
and retain today's renters
CARMEL,
Ind., Sept. 19, 2023 /PRNewswire/ --
Today, Allegion U.S., a leading provider of security
products and solutions, unveiled the results of a new multifamily
living trends survey that provides insight into preferences and
expectations of today's renters. The report, "2023 Multifamily
Living Trends: A Study on What Multifamily Renters Desire, Expect
and Will Pay More For in Their Residences," analyzes input from
over 1,000 survey respondents who currently rent or own multifamily
residences or plan to in the next two years.
Beyond the value of safety, residents' peace of mind and the
rise of mobile access control, the survey shows how COVID-19 and
the influx in Proptech have accelerated the adoption of new
technologies and amenities designed to enhance the lifestyles of
today's renters.
In 2019, Allegion conducted a similar study, providing a
benchmark for living trends among millennial renters. Over the last
four years, the multifamily landscape has changed in significant
ways – both for renters and property owners, alike: the increased
adoption of smart home technology, re-prioritization of amenities
and new preferences in leasing and communication are evident.
"Multifamily has always been a dynamic market as result of
changing lifestyle behaviors and introduction of new property
technologies," said Connie
Alexander, senior manager for primary research &
insights at Allegion. "Our research reveals that we are witnessing
the impact of Proptech adoption and lifestyle changes following the
pandemic. It's important for property owners to take note of these
shifts to best allocate short- and long-term investments in their
properties that will help attract and retain quality
residents."
The key trends and challenges examined in the report are
outlined below:
- Impact of Proptech on Multifamily Residences — In
2021, $24.3B were invested into Proptech companies globally,
with a focus on the multifamily market. Proptech can help attract
responsible, high-quality residents and provide enhanced and safer
cross-property amenities, lower operating costs and increase
revenue.
- 61% of survey respondents said they are comfortable using
Proptech. Smart locks, resident portals and cameras were included
in these preferences.
- According to the survey results, 51% of renters who make more
than $100,000 per year view smart
home technology as a need-to-have amenity, and 48% of those same
renters view Proptech as a must-have.
- More than one in two respondents would be willing to pay one to
10% more for property technology and nearly three in 10 would pay
at least 11% more.
- The Rise of Mobile Access Control — With most of
the population having access to smart phones the rise of mobile
access control provides renters with a convenient and secure way to
access different parts of their multifamily property.
- Over 59% of respondents would likely select a future place of
residence if it had mobile access control offered as an
amenity.
- Compared to the 2019 study, there was an 82% increase (to 34%
from 19%) in the number of respondents who would be willing to pay
more for mobile access control that would allow them to remotely
monitor entry of their home and give access to guests and
others.
- Amenities That Attract Based on New Behaviors — COVID-19
had a profound and lasting effect on consumer behavior and
lifestyles. Multifamily residents are no different. According to
Pew Research, 70% of individuals will continue with the at-home
habits they adopted during the pandemic.
- When asked about considerations for a future place of
residence, respondents ranked free Wi-Fi as the most important
amenity, behind affordability and proximity to work and
school.
- Among those working remotely (15% remote, 20% hybrid work
lifestyles among respondents), fast and reliable Wi-Fi is the most
important factor when looking for a place of residence.
- Home security systems, smart home technologies and upgraded
building materials ranked more important overall than fitness
centers and pools.
- Value of Safety and Resident Peace of Mind — According
to the 2021 World Risk Poll by the LP Foundation, 37% of
people in the U.S. feel less safe than they did just three years
ago.
- Fewer than one in three respondents feel secure in all areas of
their home, and about one in five do not feel secure in the
basement, living room and/or patio.
- Up 140% from 2019, 22% of respondents currently use electronic
door locks that are connected to the internet.
- And up 91% from 2019, 23% of respondents currently use
electronic door locks that are not connected to the internet.
- More than one in three respondents would be willing to pay more
for smart doorbells with video, outdoor cameras and mobile access
control. Six in 10 would pay between one and 10% more per month for
these added security features.
- Only 19% of respondents are comfortable giving their family and
friends access codes or keys to their unit. However, 47% are
comfortable hiding keys to their apartment around the exterior of
their home in the event they get locked out.
- Leasing Preferences That Convert — A survey released
from the National Apartment Association's Apartmentalize 2022
conference found over 60% of property managers cite creating
efficient day-to-day operations as one of their top three
challenges. Efficient communication with prospective and current
residents can enable a positive ROI and a differentiating
experience for renters that results in increased attraction and
retention.
- 16% of respondents noted inattentive property management as a
top three dealbreaker when considering a future place of
residence.
- More than three in four respondents are at least somewhat
comfortable with all four self-guided tour scenarios below, and
less than 10% are either somewhat or very uncomfortable with them.
- Taking a self-guided tour that allows you to freely explore a
community
- Taking a self-guided tour with detailed instructions on what
you can explore
- Living in a community that allows potential tenants to explore
the area on a self-guided tour
- Taking a self-guided tour and having the ability to immediately
sign a lease before leaving
- According to the survey, residents with incomes of over
$100,000 per year are statistically
more comfortable navigating self-guided tours and signing a lease
directly following.
- When asked how valuable different amenities were in a future
residence, a streamlined resident portal app was ranked number one
with 39% of respondents saying it was a must-have and 50% a
nice-to-have.
To learn more about how Allegion supports multifamily properties
of all sizes, visit us.allegion.com or contact a
dedicated multifamily property consultant. Allegion's consultants
are trained in the specific needs of Proptech and multifamily
access control and can help assess a property's unique needs and
help identify the right solutions and partners for the
property.
Data Source: Allegion. Survey of 1,009 individuals ages 22-39
who currently rent or own multifamily residences or plan to in the
next two years. Online blind survey; to qualify, respondents could
not work in security manufacturing, security, market research,
access control, or multifamily real estate; conducted April through
May 2023.
About Allegion
Allegion (NYSE:
ALLE) is a global pioneer in seamless access, with leading
brands like CISA®,
Interflex®, LCN®,
Schlage®, SimonsVoss®
and Von Duprin®. Focusing on security
around the door and adjacent areas, Allegion secures
people and assets with a range of solutions for homes, businesses,
schools and institutions. For more, visit
www.allegion.com.
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SOURCE Allegion US