The COVID pandemic may change the rush of Millennials to luxury apartments. Although it will likely not significantly alter the home preference behavior of this age group, it may accelerate the demographic trend towards the single family home sector that was emerging before the pandemic. Millennials are now starting to age out of the prime apartment renter years, as that generation forms families, has children, and requires more space. Now COVID-19 may accelerate demand for single-family rentals or purchases if some renters decide its best to get away from the density of apartment complexes. Some experts have been predicting for years the implosion of the luxury apartment segment due to evidence of overbuilding. And due to the Corona virus they may finally be right. But a limiting factor to this trend in the Phoenix metro area is the lack of reasonably priced single family homes for sale or rent in the areas families want to live in.
