What are the social and economic factors driving the demand for Co-living amongst Europe’s young?
Co-living is growing. Co-living companies in the US alone plan to add more than 55,000 beds to their inventories to sate the demand for co-living housing. This demand is driven increasingly by young city residents, those aged between 25 and 35 years old.
There are a number of social and economic factors driving this demand for quality co-living housing amongst young, urban populations.
Here we take a look at some of those factors.
Increased cost of housing and increased numbers of renters
Sales and housing prices are rising in urban centres. In London housing sale prices have risen by 53% in ten years, putting buying a home beyond the reach of many. This in turn increases the number of renters. Between 2007 and 2017, in the UK, the number of private renting households increased by 63%. Amongst these private renting households, those aged between 25 to 34 years old, were the largest group at 35% of the total. This demand for rental housing is leading to a demand for evolved co-living- affordable, private flats and apartments that prioritise quality of life.
Amongst these private renting households, those aged between 25 to 34 years old, were the largest group at 35% of the total. Image by Gemma Chua-Tran.
Demand for accessible and hassle-free living options
A rise in the number of people renting, leads to an increase in the number of people who are facing the prospect of having to move regularly. This leads to a demand for housing that is easy and stress free to move into. Fully furnished rental flats are in high demand, as no one wants to be moving furniture each time they move also. Co-living flats come equipped with not only the furniture you might need, but the appliances and other amenities too. Co-living means young renters don’t need to make a commitment to investing financially in furniture and other hardware in the short term.
More flexible populations
An increase in remote work, a rise in relocations for work and a more open minded, international young population is demanding flexibility in all aspects of their lives. This now extends to where they live as well. Being able to city hop, or move areas within a city, is important to many younger urban dwellers and co-living (with options for short and long term rentals) delivers the flexibility many need.
International young population is demanding flexibility in all aspects of their lives. Image sourced from Windows.
With the average age of marriage, in many Western European countries, now at 34 years of age for a male and 32 years for a woman, there is a demand for more flexible, less permanent housing. Couples are starting families and having children later, and in general making commitments later. This means a demand for smaller sized housing that is more suitable for singles and couples than families. While there is still the potential for co-living to evolve into a family friendly, urban housing alternative, for now it is designed for and the meets the needs of singles and couples looking for a great place to live.
Quality of life
Young populations are being forced into rental markets for longer and longer, but with that comes a demand for quality housing. Renters are more discerning and demand more for their rent- this includes not only beautifully designed flats and apartments, but the inclusion of community facilities from gyms, to co working offices, to clubhouses too.
There are a number of key socio-economic factors driving the demand for co-living across Europe. Ultimately however this demand continues to be driven by the need for quality housing and community spaces. Vonder is committed to the provision of beautiful and spacious flats and apartments and the community facilities that accompany them in our co-living London, co-living Berlin and co-living Warsaw complexes.
*Please note that during this time, all events are held in accordance with the latest Covid-19 regulations as set by the government. Vonder is committed to upholding the safest standards of hygiene, social distancing and to restricting the spread of Covid-19 as much as possible. Keeping our residents and staff safe is our utmost priority at this time.