RealPage Analysis Finds Eight Primary Types of Renter Households
As apartment demand patterns shift due to COVID-19, it’s becoming more important than ever to look at the shifting demographics in the marketplace at large.
A RealPage study of more than 8 million individual lease transactions found that U.S. apartment renter households tend to fall into eight general categories. Nearly half of all renter households are comprised of two groups of renters: Starting Out Singles, which account for 26% of households, and Roommates by Necessity, which account for 19%.
Starting Out Singles are the youngest group of renters, with a median age of 27, and a typical income of $36,000 a year. Meanwhile, renters from the Roommates by Necessity category are nearly identical to the Starting Out Singles group. But, at a median age of 28 years, Roommates by Necessity combine their incomes to average a much higher total household median of $78,000 per year.
Moderately-sized groups are the Affluent Singles, accounting for 17% of the total, and Mature Singles, representing 13% of all renter households. The median age for Affluent Singles is 37, while annual incomes in this group reach a significant $90,000. The Mature Singles are the oldest renter segment, at a median age of 58, and incomes are more modest at a median of $44,000, as some within this group are living on retirement savings.
Smaller segments, each at 5% to 8% of the total, are the Still Cash-Strapped Singles, Young Couples/Roommates by Choice, Families and Established Married Couples.
For more detailed information on the various renter segments, and the markets they frequently rent in, watch the recent webcast Who Are Today’s Renters?