5 Alternative Types of Tenants To Target
When investing in a buy-to-let property, you need to carefully consider who your tenants are going to be. Most landlords focus on attracting young professionals or families - but there are many other types of people out there who rent property. Below are some of the alternative types of tenants that could be worth tapping into.
Students
If you’re renting property near a college, consider whether catering to students could be a wise idea. While many colleges have accommodation on campus, there is often not enough for all students, which means many students have to look for accommodation elsewhere. Ideal student accommodation includes apartments and shared houses (in which several rooms are turned into bedrooms). This accommodation is usually furnished and rented out between August and June. This guide offers some tips for renting to students.
Temporary re-locating professionals
Some companies offer the opportunity to temporarily relocate to different parts of the US. People that take up these temporary jobs need somewhere to stay - sometimes for only a few months at a time. Providing short term rental property could allow you to target these renters (many of whom are young and have a lot of disposable income, making them great tenants). Furnished short term rentals are particularly popular as they prevent the need for professionals to buy new furniture or move in furniture for only a few months. If you own a property in a commercial hub, this could be a type of tenancy well worth considering.
Downsizing seniors
It’s becoming more common for seniors to sell their homes and downsize into smaller rental properties in order to free up money. These types of tenants typically have no issues paying rent due to the amount of money they’ve freed up from selling their home. The perfect type of property for these tenants tends to be single-storey houses or first floor apartments. Adding disability-friendly features like walk-in showers and slopes could help you to target seniors with disabilities.
Pet owners
A lot of landlords have a ‘no pets’ rule, because they are worried that the property will get damaged. However, there are many renters out there that have pets or who want pets. By allowing pets, you can target these people - many of whom are responsible pet owners and great tenants. To protect your property from damage, consider renovating it in a pet-friendly way such as adding laminate floors or a catflap. Having a yard could be necessary to appeal to dog owners.
People on vacation
Vacation rentals are a popular alternative to hotels. In this case, you’re targeting guests rather than tenants - many of whom may only stay a few days to a couple weeks. Such rental properties are very popular in touristy areas. To make sure your property appeals to vacation guests, you will need to make sure that it is furnished and remodelled to provide a sense of luxury and comfort. This could include investing in decent mattresses, creating a plush bathroom and perhaps even adding some luxury features like hot tubs or a sauna.
