When selecting their target market, many landlords choose to focus on students or young professionals. It’s hardly surprising – over the years, both demographics have proven to be lucrative tenants.
Whilst it still makes good financial sense to rent to younger people, it’s important not to overlook a growing demographic – older tenants. Here’s some more information.
Property Investment Opportunities for Older Renters?
According to the latest statistics, close to 50% of tenants in the UK are 46 or over. Additionally, nearly a fifth of all renters are over 55 – which shows just how much the rental market has changed in recent years.
Unlike their younger counterparts, many older tenants say that they’re quite happy renting, and don’t want to get back on the property ladder. In fact, according to YourMove, 46% of over 55s said they were content with renting property – compared with just 25% of 18-25 year olds.
As you might imagine, this has big implications for landlords.
What’s Causing the Rise in Mature Tenants?
There are a number of reasons why increasing numbers of older people are choosing to rent instead of buy. Divorce is a significant contributing factor. After the break-up of a marriage, many people are unable to afford a property on their own, so choose to move into rented accommodation instead.
However, some older people are selecting renting over purchasing as it offers more freedom and fewer responsibilities. Renting property allows them to move to areas that may otherwise be prohibitively expensive, and enables them to relocate to be closer to family and friends.
Investing in Property in the UK – Appealing to the Older Market
When selecting buy-to-let property for sale, it’s a good idea to consider over 55s as a potential tenant market. Broadly speaking, older tenants are looking for longer-term accommodation. They’re also happy to pay a higher rent – if the property is in great condition and a desirable location.
If you’d like to appeal to this key demographic, keep the following in mind:
Finding the Right Buy-to-Let Property for Sale
The best priced investment properties in the UK are often found at property auctions. Alternatively, property investment agents often have well-priced buy-to-let property for sale on their books – which won’t be available to the general public.
The Buy2Let Shop are a team of professional property investment agents in London, and we’re here to help you find the right property investment opportunities for your requirements. To find out more, simply visit The Buy2Let Shop website today.