If you’re like most people who offer furnished rental properties, the number one reason that people choose your apartments or homes is that they are on a business trip or assignment. The 2020 CHBO Corporate Housing Real Estate Report shows that this is the typical reason to choose this kind of housing, although there are others.
What might be surprising is that the people who responded to CHBO’s 2019 survey showed that fewer people were using the property for business than in 2018. The percentage dropped from 71% down to 63% for our newest report. But make no mistake, this is still the number one reason for someone to choose furnished rental properties.
If you fit with the typical responses to our last survey, you probably also had people renting the home or apartment because of a home remodel or a relocation to a new area. About 41% of those with rental properties had relocators in their spaces, while 32% booked these apartments for remodels or temporary housing.
Even though these three things make up the most common reasons to use furnished rental properties, there are several others. Some of the other stats for the year include the following:
- Vacation reason – 30%
- Healthcare reasons – 19%
- Insurance claim reasons – 15%
- Divorce reasons – 14%
- Seasonal working reasons – 14%
- Military reasons – 5%
- Political reasons – 1%
So, how did these things change from 2018? People who used rental properties for healthcare reasons dropped, while those using them for divorce increased. Seasonal workers were more likely to use a corporate apartment than before, while professional athletes were less likely to do so. Fewer owners of furnished rental properties also indicated that military members used their housing.
Keep in mind that 2020 has been full of twists and turns, especially with regards to COVID-19, so things may be a little different throughout the year. It’s hard to determine how things are going to shake out, so next year’s report might be quite different from the one that comes out next. That’s something we’ll all have to wait on to see.
However, the corporate housing industry seems to be doing well, even with all these things considered. If you want to learn more about this aspect of housing or would like to review the entire report, log into your CHBO account to see all the data we have available!
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