In recent years, millennials have been the largest growth segment in multifamily rentals. However, renters over the age of 60 account for one-third of current rental applications in urban areas, and new renters over 60 are on the rise, growing 43% from 2007 to 2017 to reach 9.4 million. By 2035, the figure is expected to double. Here are five reasons for the surge.
- Boomers are downsizing from larger homes.
- They want to do less home maintenance as property management handles repairs.
- Apartments offer age-friendly floor plans—no stairs, larger spaces for mobility devices, wider shower stalls.
- Apartments may have amenities appealing to baby boomers, such as high-end fixtures and finishes or soundproofing.
- Boomers have had time to accumulate savings and will be less rent burdened in managing expenses.
Sources: RentCafe.com, National Multifamily Housing Council, NKF Research