Landlords could attract more senior renters with simple upgrades

The market for older renters may be growing, but landlords need to better target their properties to cater for this increasing market, providing longevity and a more permanent home for those who may never buy, according to Saif Derzi, a property trading expert at Landlord Resource.

He said: “Latest figures show that the number of older households renting is increasing, with nearly a fifth (18%) of those aged 65 and older now living in private rented accommodation. This presents an opportunity for landlords to serve an underserved and growing segment of the market by offering rental options that are financially fair and accessible.”

For some, this could be the result of marriage breakdowns making it challenging for tenants to get back on the property ladder and issues that are harder to manage if a landlord sells, such as finding another property and paying upfront costs, as well as having too little pension income left after rent.

Derzi said: “Older renters want a more permanent home, which can save landlords money on letting fees, inventory checks, and empty unrented months. Also, more mature tenants tend to treat properties with more care. This could mean you would spend significantly less money on repairs.”

A lack of suitable properties

“Bungalows are often a sought-after and suitable property type for retired people due to the general health issues we all tend to get as we get older. However, the latest NHBC figures reveal that new-build bungalows have decreased by nearly two-fifths (38.4%) since 2011. Ground-floor flats that are easily accessible to vital amenities such as GP surgeries, local transport, and shops are what is needed.” 

However, renting to this sector can have its own challenges, Derzi admitted. “The cons of renting to older tenants can include the need for accessibility adaptations and additional maintenance, alongside greater financial and legal considerations. Tenants on fixed incomes may have less flexibility when costs rise, while landlords may need to take extra care when managing arrears or rent increases. 

“There can also be additional responsibilities around health or cognitive decline, property upkeep and, in some cases, more complex eviction or succession procedures.”

But simple adjustments can help, he said. “Landlords looking to tap into the growing market of older renters should start by making properties more accessible and adaptable, while considering how to keep rents affordable for tenants on fixed incomes. 

“Simple improvements such as better lighting, safer fixtures and accessibility features can make properties more suitable, while having clear processes in place for maintenance, support and potential changes in tenants’ circumstances can help landlords manage the longer-term needs of this market.”