We asked the tenant “length of stay” question in multiple ways to ensure we received accurate data for our annual survey of corporate housing by owners.
To better understand the length of stay trends, we asked: “How long did your last tenant stay?” and “On average, how long do your tenants stay?” By asking these questions in different ways, we were able to validate the data and understand the nuances.
In 2013, 34% say their tenants stayed an average of three months, and 31% of tenants say their tenants stayed for six months or longer. As a point of comparison, the “serviced” corporate housing industry reports its average length of stay as 88 days (approximately three months), according to its last annual report.
| Tenant’s length of stay – How long did your LAST tenant stay? | |||||
| Answer Options |
2013 Responses |
2012 Responses |
2011* Responses |
2010* Responses |
2009* Responses |
| Nightly |
3% |
2% |
3% |
4% |
3% |
| Weekly |
9% |
10% |
8% |
10% |
12% |
| Monthly |
19% |
26% |
13% |
8% |
10% |
| 3 Months |
31% |
27% |
44% |
45% |
39% |
| 6 Months |
14% |
15% |
19% |
22% |
15% |
| 9 Months |
7% |
8% |
n/a |
n/a |
n/a |
| Year or longer |
18% |
13% |
13% |
12% |
21% |
| Tenant’s length of stay – On AVERAGE, how long do your tenants stay? | |||||
| Answer Options |
2013 Responses |
2012 Responses |
2011* Responses |
2010* Responses |
2009* Responses |
| Nightly |
3% |
2% |
4% |
7% |
3% |
| Weekly |
13% |
10% |
8% |
9% |
15% |
| Monthly |
19% |
25% |
9% |
9% |
10% |
| 3 Months |
34% |
36% |
55% |
55% |
42% |
| 6 Months |
15% |
14% |
14% |
11% |
15% |
| 9 Months |
4% |
4% |
n/a |
n/a |
n/a |
| Year or longer |
12% |
9% |
11% |
9% |
16% |
- To clarify the answers to this question, the wording was changed in 2012. Original response options were: Multiple Months (greater than 4.3 weeks, but less than 6 months) and Multiple Months (greater than 6 months, but less than 1 year).
Minimum Length of Stay
Given the current business and economic climate, longer stays are common. We believe this trend correlates with the increase in consulting and project contracts. Businesses are still trying to grow without hiring full-time employees; though, we expect full-time hiring to increase in 2014. In addition, people who are going through relocations are staying in temporary housing longer, as they take time to assess the current real estate market.
We found that 27% of properties could be rented for less than one month. However, on average, 84% of properties were rented for one month or more (based on the findings from the previous page). In fact, 65% of the 2013 respondents say their properties typically rented for multiple months.
Length of stay – Minimum time you are willing
to rent your property for?
|
2013 Responses |
2012 Responses |
2011 Responses |
2010 Responses |
|
| Nightly |
10% |
8% |
12% |
15% |
| Weekly |
17% |
18% |
18% |
21% |
| Monthly |
43% |
46% |
62% |
55% |
| 3 Months |
15% |
18% |
n/a |
56% |
| 6 Months |
9% |
7% |
n/a |
n/a |
| 9 Months |
0% |
0% |
n/a |
n/a |
| Year or longer |
5% |
3% |
7% |
8% |
Starting in 2012, as the result of city legislation against less-than-30-day stays, we added a question about who sets the limits on the minimum length of stay allowed. For example, both New York City and Chicago now prohibit the rental of a private residence for less than 30 days. (It’s worth noting that there was no additional major legislation passed restricting furnished rentals in 2013).
In this survey, only 7% reported having their city regulate their minimum length of stay. 20% say they are regulated by the rules of the community or the building in which their properties are located. The majority of the “Other” responses are variations of the “building regulates the length of stay” response, such as the HOA.
Who sets the minimum length of stay?
| Answer Options |
2013 Responses |
2012 Responses |
| I decide |
70% |
65% |
| Building – rules of the building |
20% |
22% |
| City – laws of the city |
7% |
8% |
| Other |
3% |
5% |
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