Venn, a leading proptech company focused on transforming the resident experience, has released the findings of its 2022 Renters Experience Report. Based on feedback from 1,500 multifamily apartment renters across the U.S., the report outlines a surprising differentiator that doesn’t involve technology or new spaces: the neighborhood in which buildings are located. Renters who live in amenity-rich buildings and are highly satisfied with the neighborhood are more than twice likely to renew their leases (78%) while only 34% are likely to renew if they are not highly satisfied with the neighborhood.
Another finding shows that 67% of respondents say they would be more likely to choose an apartment building because it offers services for them to connect to their neighborhood over one that didn’t. In fact, renters with five or more close relationships within their neighborhoods are one-and-a-half times more likely to renew their leases than those with fewer. Valuing human connection over technology, 51% were more likely to renew if they felt like they completely belong.
Regarding top factors influencing lease renewal, 57% noted at least one neighborhood factor (i.e., local businesses, sense of belonging, close connections) while fewer than 2 out of 5 said that the buildings’ technical and physical amenities were top factors in renewal. As expected, rent was the single most influential factor for respondents.
Other findings include:
- More than 75% of renters would be willing to pay additional monthly fees for packaged utilities (82%), grocery subscriptions (79%), and personal wellness services (75%) sourced from their local communities. The lowest ranking paid services, plant care and membership to a coworking space, were also of interest at 63%.
- Tech-based messaging between residents has proved to be effective and popular. Renters are one-and-a-half times more satisfied with their landlords than those who lack access to the experience. Almost two-thirds of respondents said that they are willing to pay extra for services like app-based messaging.
- Outside of connection and neighborhood preferences, satisfaction of renters with tech amenities included EV charging (56%), app-based security system (54%), and app-based/voice-control for lights and electronics (56%), among others.
