Based on market analysis from MPF Research, apartment renter turnover is strongly correlated with an area’s economic stability and median age. A market analyst with MPF Research explained in an article for Property Management Insider that a metro area’s apartment renter demographic is more likely to be transient when the median age is lower. In a study of metro areas with the lowest and highest “apartment renewal conversion rates,” 70 percent of the metro areas with the lowest renewal conversion rates house people with median ages that are lower than the areas with the 10 best renewal rates. The market analyst noted that younger people are more mobile due to a variety of factors, including job flexibility and fewer family responsibilities.
The article also reports that annual job growth and greater resident turnover have been connected in the last three years. Analysis found that retention rates were lowest in the South and West regions, where job separations and opportunities were higher.