Renting to Gen Z can be a unique experience for many landlords, but it can result in some uncertainty. Consider the following things your Gen Z renters might want to know about them as renters.
Generation Z is a unique group, a demographic with vastly different experiences from those who came before. Gen Z is often labeled the first “digital natives”, and this and similar ideas are why they are considered such a unique group. As such, it is expected that renters from Gen Z are going to be different from the millennial and Gen X renters who came before them.
As a former renter and a member of Gen Z myself, I have opinions and preferences regarding renting that I know are different from those of my older friends and family members. To help landlords understand this younger generation, here are five things your Gen Z renters want you to know about how they rent.
Gen Z Expects Digital Payment Options and Clear Communication
Digital payment options aren’t an option anymore; they’re a necessity. Gen Z is particularly fond of digital payments, and Gen Z renters often expect them in any rental they live in. Additionally, online payment options have been shown to decrease late payments significantly. These factors make online digital payment options an ideal solution for many landlords.
Implementing online payment options is an excellent way to reduce late payments, encourage Gen Z renters, and encounter fewer conflicts with your young renters. Consider implementing them if you frequently rent to young people or rent in a college town. Even if you do not have a lot of young renters, these online payments are often loved by anyone who is a little tech-savvy and loves convenience.
Clear, simple communication through text or email is also important to Gen Z renters. This not only ensures that all communication is documented, but also ensures that both parties have an easy reference whenever they may need clarification on the lease rules or previous conversations. Additionally, it is fairly common for members of Gen Z to strongly dislike phone calls, so they often prefer written communication.
Learn more: Benefits of Having a Rent Portal for Online Rent Payments
Gen Z Prioritizes Location and Lifestyle More Than Previous Generations
Gen Z is a very experience-oriented generation. We don’t often prioritize owning a lot of things, and many prefer to pay for fun experiences and accessible amenities. Living close to work, restaurants, gyms, and other lifestyle components is an essential component of how Gen Z renters choose their homes.
Additionally, many Gen Z renters want apartment rules that align with their lifestyles. Some renters want calm, laid-back environments, where they can enjoy a peaceful and relaxed home environment, while others prefer a busy, bustling party spot, where they can host their friends and loved ones at any time. While you cannot be expected to appeal to every member of Gen Z at one time, keeping firm rules in place to encourage specific lifestyles can be a great way to have a happy, harmonious community of Gen Z renters.
Learn more: The Gen Z Housing Market — What Young Renters Look For
Roommates are Extremely Common
With the high cost of living in today’s world, a roommate is a necessity for most young renters. A 2022 study found that 50% or more of 18-24-year-old adults living without parents, a partner, or grandparents live with a roommate. Many others live with siblings, an additional 19% for men and 17% for women. While this does decrease as these people reach their mid-to-late-twenties, which a portion of Gen Z currently is, it does not fade away entirely. As such, roommate-friendly accommodations are important to many Gen Z renters.
Gen Z Renters Love Furnished Apartments
Gen Z renters, especially students, don’t typically like to carry around a lot of furniture and possessions. Furnished apartments appeal to these light-packing renters, as they enable them to move from one space to another without worrying about moving or purchasing furniture for their new home.
To appeal to these lovers of furnished living spaces, invest in furniture that is high-quality and will last a long time, but isn’t extremely expensive if possible. While the common purchase of young renters, Ikea furniture, is cheap and easy to install, it will often need to be replaced between tenants. Finding a balance between sturdiness and affordability will offer the best results in the long run.
Additionally, many renters also want tech-forward amenities. While many big, obvious amenities can attract renters, Gen Z is more attracted to high-tech, modern rentals with options such as high-speed internet and smart home features. These are quickly becoming more valuable and coveted than other, larger amenities, such as a pool or communal spaces. These high-tech enhancements are much more likely to bring in young renters than other amenities.
Learn more: Smart Home Technology for Landlords and Tenants
Community Values are Important to Gen Z Renters
While one might assume that the increasingly online Gen Z wouldn’t value their community, the truth is quite the opposite. Gen Z is more likely than other generations to choose both their living and working conditions based on their values and what they are looking for in a community. They also often choose sustainable living conditions and modern, tech-forward lifestyles. Similarly, some members of Gen Z prioritize communal living and neighborhood events more than others, so offering these may be a good way to encourage Gen Z renters who want a strong community to move in.
Final Thoughts
Gen Z renters are a unique demographic, whose exact preferences can be accommodated with knowledge of their unique desires and priorities as renters. This information can be used both to encourage more Gen Z renters to move into your properties, and to maintain happy renters in your community.
