It’s that time again, and those eager to make the most of their participation in the CHBO Certified Program will want to have key points about the whole corporate rental market. A good source and one we turn to time and again is the annual Corporate Housing Provider’s Association report, and in a previous assessment of it, we looked at the topic of relocation specifically.
Let’s do that again and gauge any recent changes, and how those might affect clients considering the use of the CHBO Certified Program for standard corporate rental options and relocations. First and foremost was this data point: “For the seventh successive year, relocation was the largest reason for using corporate housing in the U.S.”
The average stay, however, declined to 78 nights, while the number of occupied units went up by almost 19% and revenue increased to more than $3.6 billion. With around 71k units, that indicates steady growth.
The Workforce Mobility Association, also cited in previous reports, said that “the average cost of transferring a current-employee homeowner is $90,017. A new-hire homeowner is somewhat cheaper, coming in at around $67,000. Renters are considerably cheaper to move, with a current-employee renter costing a little more than $20,000, and a new-hire renter costing slightly more than $17,000 on average.”
Firms also still find that home sale assistance costs (funds used to support homeowners making a move) remained steady, and that reluctance to move continues to decline.
How can this help you in terms of your corporate rental and the use of the CHBO Certified Program? If you take a few steps back from the data, one clear fact emerges – there is a consistent growth in demand for quality corporate rentals, and particularly relating to relocations. When you put your property into the CHBO Certified Program, it can be positioned as a home rather than an extended stay property. It will come as a turnkey solution rather than a sterile corporate rental in a long stay hotel.
Don’t overlook the trends – relocation is the main reason for corporate travel and you want to use every resource you can to show your properties as the ideal spot to stay as you transition from one area to another. The resources from CBHO can get you there easily and effectively.