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What the landlords had to say in our survey

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Relevant data equals real estate success. To support the success of Do-It-Yourself landlords who have corporate housing rentals,  help them gain insights into industry trends, and better understand how such trends can help shape rental management, CorporateHousingbyOwner.com (CHBO) announces the 5th annual “By Owner” Corporate Housing Report. CHBO is a website dedicated to supporting the knowledge and success of corporate housing landlords with CHBO’s primary goal to connect qualified properties and tenants as quickly as possible. Following are some excerpts from that report.

We know the findings in this report will be useful to anyone currently managing or marketing a rental property, whether it be a corporate rental or vacation rental property. Simply understanding how other corporate housing landlords are pricing, marketing and managing their properties, for example, can offer crucial insights and takeaways that other landlords can emulate in their own efforts.”

After a wild year in corporate housing in 2012 – complete with corporate housing mergers, new regulations on vacation rentals, and an uncertain economic climate – 2013 proved to be a fairly stable year in the corporate housing industry and the residential rental world. We hope it was a successful year for you.

As you turn your attention to 2014, we’re excited to share the 2013 “By Owner” Corporate Housing Annual Report. In the following blog posts, you’ll find a summary and analysis of the results from our annual “By Owner” Corporate Housing Survey – now in its fifth year. In the posts to follow, you’ll be able to draw upon the latest data, as well as comparisons and trends from recent years, to ensure 2014 is your most profitable year yet.

What makes The “By Owner” Annual Report is different than other property management annual reports. It reflects findings from individual property owners of furnished monthly rentals, rather than from full-service, corporate housing companies. This report is designed to help individual owners, like you, learn from relevant trends in your marketplace and achieve greater success.

Corporate Housing Landlords? – *Excerpts from the “by Owner” Corporate Housing Annual Report

  •  Property Locations. Hundreds of property owners from across the United States (including 38 states, the District of Columbia and Puerto Rico) and Canada responded to the 2013 survey. The highest response rate came from property owners in California, followed by Colorado, Texas, Washington and Illinois.
  • Number of Properties. 42% of respondents say they have one rental property – about the same as 2012. Meanwhile, 41% report they have two to five properties. This group is up from 35% in 2012 – but the percentage is back to a similar level seen in 2010.
  •  Years as a Corporate Housing Landlord. 38% of respondents say they have been furnished landlords for five years or more. This number has continued to grow over the last few years (up 4% over 2012 and up 13% over 2011), indicating that property owners are finding long-term financial success in their rentals.
  •  Reasons for Being a Corporate Housing Landlord. At an all-time high, 59% of respondents said the reason they are corporate housing landlords is for the long-term investment.
  •  Corporate Housing Terminology. Similar to last year, 75% of respondents list their rentals as “corporate housing,” followed by 51% who list their properties as “furnished rentals.”  After two years of seeing a decrease in the number of people who refer to their properties as “vacation rentals,” there was a slight 4% increase in that terminology.

We received hundreds of survey responses from property owners across the United States (including 38 states, Puerto Rico and the District of Columbia) and Canada.

The top U.S. states for responses were:

  1. California 23.6% (up from 22.5% in 2012)
  2. Colorado 9.6% (up from 9.0%)
  3. Texas 7.7% (up from 6.9%)
  4. Washington 6.3% (replacing Illinois at #4)
  5. Illinois 5.2% (replacing Georgia at #5)
  6. Florida 5.0%
  7. Georgia 4.7%
How many rental properties do you own/manage?
 

2013 Responses

2012 Responses

2011 Responses

2010 Responses

2009 Responses

1 unit

42%

41%

46%

40%

n/a

2 – 5 units

41%

35%

34%

40%

n/a

6 – 10 units

8%

9%

9%

11%

n/a

10 – 20 units

3%

6%

5%

3%

n/a

20 – 50 units

2%

4%

3%

3%

n/a

50+ units

5%

5%

3%

3%

n/a


Primary reason for being a corporate housing landlord?
 

2013 Responses

2012 Responses

2011 Responses

2010 Responses

Investment propertyOptimize revenue from a long-term investment property

59%

50%

47%

55%

Can’t sellOffset costs while waiting for the residential market to improve

9%

15%

17%

15%

Vacation rentalOffset costs of owning a vacation home

9%

11%

14%

17%

Primary residence*Offset costs of former residence not being used

17%

13%

15%

n/a

Other reason

6%

11%

7%

14%

Next week: Outlook and Profitability. What do Corporate Housing Landlords think?


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