When thinking through vacancy countermeasures, deciding who you're renting to — the target tenant — is essential. Here's an overview of the marketing points worth keeping in mind for student-oriented, single-oriented, and family-oriented rentals respectively.
- The equipment, location, and rent level that matter most differ by target tenant.
- Students tend to value closeness to their university or school and security, while single tenants tend to value the distance to the station and everyday convenience.
- Families tend to value the size of the floor plan, the surrounding educational environment, and storage space.
- Prioritizing equipment investment based on the target tenant makes it possible to use a limited budget effectively.
- It's advisable to tailor the photos and messaging in listing ads to the target tenant as well.
How Property Needs Differ by Target Tenant
Even for a property with the same floor plan, students, working singles, and families each place weight on different points. Being conscious, before starting to market a unit, of which group you're renting to makes it easier to keep equipment investment and how you present the listing consistent. Getting a sense of which group nearby properties mainly target is also useful reference for thinking through where your own property stands.
Characteristics of Student-Oriented Properties and Marketing Points
Student-oriented properties tend to place weight on closeness to the university or vocational school, security along the commute route, and affordable rent. Since it's often a parent who signs as the contracting party, it's effective to highlight the use of a rent guarantor company and robust security equipment. Concentrating marketing efforts around the enrollment and admission season is also a point worth keeping in mind for student-oriented listings.
Characteristics of Single-Oriented Properties and Marketing Points
Single-oriented properties for working professionals tend to place weight on the distance to the station, everyday convenience, and equipment such as a parcel locker and free internet. Listing ads that emphasize convenience for a busy lifestyle tend to be effective. With the rise of remote work, it's worth noting that interest in an in-room workspace and internet connectivity is also growing.
Characteristics of Family-Oriented Properties and Marketing Points
Family-oriented properties place weight on the number of rooms, storage space, the surrounding educational and childcare environment, and consideration for household noise. Nearby information such as the school district and parks is also worth emphasizing in listing ads. Since many households consider moving as their children grow, judging equipment investment with long-term tenancy in mind also matters.
Prioritizing Equipment Investment by Target Tenant
Where to direct a limited repair and equipment budget shifts in priority depending on the target tenant — security equipment for students, a parcel locker and internet connectivity for singles, storage and soundproofing for families. It's advisable to judge based on the return on each investment. Getting the priority wrong turns the investment into one that doesn't resonate with the intended tenant, so it's important to keep checking that it lines up with the target you're marketing to.
Tailoring Listing Ads to the Target Tenant
How photos are shot and the wording used in a listing ad also land differently depending on the target tenant. Working out, together with the management company and leasing agency, exactly which tenant group the ad is aimed at makes it easier to generate inquiries. Even for the same property, simply changing the order of the photos or which points are emphasized can change the quality of the response.
Frequently Asked Questions
Can the target tenant be changed partway through?
It's possible to switch the target tenant by revisiting the equipment and rent setting. That said, a substantial change may require equipment investment.
What equipment is needed to make a property family-oriented?
It's advisable to consider soundproofing and the surrounding educational environment in addition to storage space and the number of rooms. The range of what's achievable differs depending on the property's structure.
Doesn't narrowing the target tenant raise the risk of vacancy?
Narrowing the target raises how strongly the listing resonates, but it also narrows the pool of potential tenants. It's important to judge this against the local demand trends.
Summary
The equipment and location conditions that matter differ across target tenants — students, singles, and families. Equipment investment and listing-ad choices made with the target tenant in mind lead to an effective vacancy countermeasure.