The benefits of renting for a family

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05th May 21

Almost one in four households in Britain will be renting privately by the end of 2021 according to a YouGov survey. Around 5 million households in the UK are in private rented accommodation, which includes a quarter of whom are families with children. Families are a demographic typically associated with buying but as things change, we look at the growing trend of families that choose to rent.

The future of the family rental market

According to a report in Forbes, the future of renting could be in the Build to Rent family homes market. This is where families can enjoy the same high level of amenities that are usually found in high-end apartment complexes. One of the factors for fueling this potential growth is that Millennials, between the ages of 24 and 39, are coming into prime housing age. But high student loan debts and the cost of home ownership means that many will choose high quality rentals in desirable areas over second rate home ownership properties.

Rental options for families

Build to Rent family homes are usually found in more suburban areas. Already the trend is very popular in the United States and has quite quickly made its way to the UK. An increasing number of rental houses are being built by UK developers, with more expected to meet the demand which is likely to increase in the aftermath of Covid.

Why families rent

Families choose to rent for many different reasons. These include:

Renting allows them to live in an area where they could not afford to buy.
Renting can be more affordable than home ownership.
Some families do not want the responsibility of owning a home.
The flexibility that renting offers enables people to move at short notice.
Renting offers an ease in downsizing.
Families cannot find an appropriate property to buy and are not willing to compromise.
Families don’t want to be stuck in one location and renting allows them an ease in which to move.

For families looking for flexibility

Landlords want stable tenants and families want somewhere to call home, which is why renting for families can offer the perfect solution. Big life changes can happen when children are small and it you want to seize the opportunities that come your way, it pays to be able to move at short notice. Perhaps you or your partner are offered an unmissable job opportunity overseas or in a new area or you want to send your children to a school outside of your catchment, being able to move from one rented accommodation to another is a lot less hassle than buying and selling property.

Why families are choosing the Build to Rent sector

Increased choice of property is one of the key advantages of Build to Rent. For those struggling to find the right property in the traditional rental market, the Build to Rent sector has been built for the way modern buyers now want to live. Another key driver is the secure tenancies they offer. Renting should not mean that you can’t put down roots. If you love where you live, the Build to Rent sector will allow you to set the time that you want to stay. Safety and security are also highly important for families so the professional management of the homes is a great reassurance.

Try before you buy

The experiences of living in an area can alter over time. Your prioritise will change if you have a family and what would have once seemed important, will suddenly seem irrelevant if you have young children in tow. When renting, it allows you to completely experience an area and will highlight the pros and cons. Renting allows you to get a taste for a new area and could save you thousands of pounds if you change your mind. If you are trying out an area, a few things to consider before buying include:

Noise pollution – are you near busy roads due to the school run or under a flight path.
Night life – some areas can take on a completely different feel in the evening.
Shops – do you want to be able to walk to the shops.
Café culture – is it important that you have some coffee shops or restaurants nearby.
Travel – are you near good travel connections for your commute to work or school.
Local area – check out stats on crime, visit local schools and work out the council tax.
Parks and recreation – visit local parks and places to take the kids.

Is renting cheaper than buying?

There’s a few different ways why renting can be financially beneficial, despite it being referred to as ‘dead money.’

As a homeowner, you will be responsible for all home maintenance. This can run to thousands of pounds with some older properties being a never ending money pit.
Home ownership doesn’t always equate to home equity in terms of profits. The housing market can be unstable with Brexit and the effects of the Covid pandemic.
There’s lots of costs involved in home ownership including stamp duty, solicitors fees, buildings insurance and surveyor’s costs. This can also be referred to as ‘dead money’ as they are costs that you cannot recoup.
Build to Rent offers a choice of homes for a range of budgets

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