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It’s no secret that the housing industry is booming in 2021. Buyers are scrambling to take advantage of a perfect scenario while sellers want to get the most out of the housing market.
This perfect storm has trickled down to cause an unprecedented apartment shortage throughout the nation, making it harder and harder for relocation services to place clients in apartment homes they would normally have no problem finding.
So, with the perfect storm working against relocation management companies, what can you do to ensure you can get your clients into an apartment they will love?
Well, we’re here to answer that question.
With more than 30 years’ experience in the corporate housing and travel industry, ExecuStay Midwest has seen just about everything and helped RMCs through several housing shortages. Here’s what led to the current apartment shortage and what you can do about it.
The Housing Boom
As you know, the housing market is BOOMING, so much so that there is an extreme housing shortage across the nation. This housing shortage has led to high home values, but what led to the housing boom and subsequent shortage?
Well, a combination of factors really! Many Americans started working from home in 2020 and quickly found that they did not have enough room to work and live in their current abode. The federal government started providing stimulus checks to Americans. The stimulus checks provided a boost to many Americans’ wallets, helping some achieve down payment goals to be able to purchase a home.
The stimulus checks coupled with unprecedentedly low interest rates made homes more affordable than ever. If you want a home and can finally afford one, why wouldn’t you buy a one?
That’s the question that more Americans are asking themselves than ever, leading to a massive homebuyer frenzy that we’ve never seen before!
The Apartment Shortage
This incredible housing demand has led to record-breaking home values that sellers are taking advantage of. When they sell their homes, many sellers are turning to apartment living to avoid the stressful homebuying battle taking place in 2021.
In an effort to protect renters in America during the economic struggles seen in 2020, the federal government also called for a temporary stop on evictions. This break in evictions has led to apartments that would otherwise be vacant remain filled, adding to the strain on the apartment inventory.
For RMCs, there is also the issue of corporate housing providers not renewing their normally extensive apartment inventory to avoid unnecessary costs. This has been an important step to maintain the corporate housing companies’ ability to provide temporary housing to their (and your) clients throughout 2020 and 2021.
Now that the temporary housing demand has returned, corporate housing companies are left with their own inventory shortage due to the increased demand for long-term apartment housing. This is making it difficult for RMCs to find housing for their clients.
What RMCs Can Do About It
So now that you know what the issue is, what can you do to make sure you’re prepared when you face this problem?
Work with more corporate housing providers
Whether your company is partnered with one corporate housing company or half a dozen, each corporate housing provider has different core inventory. With the current apartment shortage and vendors reducing their inventory, this means the only way to guarantee more options for your clients is to have more corporate housing providers in your wheelhouse.
By adding vendors to your supplier list, you’ll have access to each of their core inventories, not just the reduced options of your current vendors.
Call apartment communities directly
Working directly with apartment communities is certainly an option that may net you some apartment options that you otherwise wouldn’t have access to. Going this route will mean the work that vendors normally handle will fall to you, however. You’ll need to find the furnishings for the apartment, set up utilities, cable and internet. You’ll also need to find a housekeeping company to clean the apartment after your client’s stay, or during if they prefer housekeeping services.
Honestly, this is a TON of work and one of the many reasons why corporate housing companies provide so much value to RMCs and their clients. If you are stuck between a rock and a hard place, however, this may be a last ditch option to pursue.
Your Corporate Housing Vendor in the Midwest
Look, there’s really no downside to working with more corporate housing providers. You take on zero risk from having an extra vendor in your back pocket to use in case you need more apartment options for your clients.
If your clients are relocating to the central US or you want to have a partner in place in case the need arises, ExecuStay Midwest delivers fully furnished apartment homes in upscale apartment communities across the region and the country. With hundreds of apartments in 18 cities from San Antonio to Des Moines, we have apartments that your clients will LOVE ready for their arrival.
We’ve worked hard to provide temporary homes for thousands of travelers over our 30 year history and step up our game to provide a healthier, cleaner, happier home-away-from-home for your clients.
Be prepared for your clients’ needs and get in contact to start taking advantage of our extensive apartment inventory. Our team has extensive experience working with RMCs and knows just what you need in a corporate housing provider.