Single vs Multi post coronavirus appeal

[Nick Church]

Hi everyone.

I’m new to the community and was after listening to one of the recent podcasts, I was left wondering: Will the appeal of single family homes increase in the coming future as opposed to small multi family homes due to the fact that people won’t want to be coming into contact with other tenants/neighbors for social distancing concerns? Basically will people avoid apartments out of fear of catching coronavirus, and how will it affect desire for single family homes? 

I should note I would intend to buy a single family or multi family and rent it to someone, I’m not talking about flipping or selling.

Would love to hear any feedback, thanks!

[Joseph Cacciapaglia]

I think this experience may hurt large multifamily properties. One of the big complaints I've seen from apartment dwellers is that they can't use the amenities that they're paying for. Right now the pools, gyms, dog parks, playgrounds and other common areas are shut down in a lot complexes. This is at a time when those amenities are in highest demand. Compare that to all the people in single family homes posting pictures of themselves in the backyard or pool, and single family homes become much more attractive.

This effect should impact amenity rich properties more than others. The renters in those properties should be able to make the switch to single family if they'd like. Many of the smaller properties without significant amenities may not see much of a shift, especially if their price point doesn't really compete with single family homes. One thing I've talked to a lot of clients about is their shared laundry facility. For some of the smaller/lower end properties, this is the only real common area. I believe there will be more demand for in-unit laundry, as people are a little bit more germ conscious.