In Bucharest, many students have chosen to leave the city as universities courses are held online, freeing rental properties, while short-term rentals have been reconverted to long-term rentals.
The price of rent remains the main criterion for tenants.
“Tenants are more dynamic than prospective homebuyers and rental market trends can prove valuable for residential developers. The need for security in relation to the homeowner will lead to a more professional rental market and developers will start focusing on this segment. We have already seen transactions with residential buildings meant for rental only, a sign investors are interested in such products. We expect to see new players announcing rental property projects in this newly-created ecosystem,” said Gabriel Blanita, associate director at Colliers Valuation and Advisory.
Apart from the monthly rent level, most people who prefer renting a property to buying a home seek amenities that cater to heir respective needs and lifestyles, such as parks, green areas, playgrounds, which have now become as important as proximity to public transportation.
Moreover, as proximity to supermarkets was always a priority for prospective tenants, proximity to pharmacies is now important to nearly 50% of respondents to a survey conducted by Unlock Research for Colliers International.
“The pandemic has fundamental changed people’s relationship to their living space, which became more important to them during lockdown and the trend has remained. The look of the indoor and outdoor space as well as amenities have become more important. For the rental market, besides the need for security and not making decision that entail high investments, there is now the need for an upgrade to better living standards, as tenants are not content with the market’s current conditions,” said Alexandra Cojocaru, partner at Unlock Research.
The survey was conducted in the period September – October 2020 on a sample of approximately 300 people living in rental properties in Bucharest, with above-average income, higher education and aged from 25 to 45.