Which target group is the best fit for my property?

Factor 1: Location – The unchanging filter

Location is the only criterion you can't renovate. It's the strongest indicator for your target group's rental property .

• City center and noise: Is your apartment located on a busy street in the city center? Then families with small children and seniors seeking peace and quiet are usually not considered suitable rental properties . Young professionals, students, or urban couples who appreciate the nightlife and tolerate noise are a better fit.
• Urban area and tranquility: Is the property located in a green setting, but with good public transport connections? That's the magnet for the target group of families looking for rental properties or commuters seeking relaxation on weekends.
• Infrastructure: Is the school far away? Bad for families. Is the train station within walking distance? Perfect for commuters. Are there no shopping options without a car? Then seniors without a vehicle are not a suitable target group for this rental property .

Define the micro-location honestly. A noisy bar on the ground floor excludes certain tenants, but might even make the property attractive to another target group (e.g., a party-loving shared apartment).

Factor 2: Size and floor plan – Who fits in?

Not every square footage suits every lifestyle. The floor plan often determines the target group for a rental property more decisively than the price.

• The number of rooms: A 1- to 2.5-room apartment almost inevitably defines the target group for the rental property as singles or couples. From 4.5 rooms upwards, families or shared apartments come into play.
• Suitability for shared living: Are all rooms accessible from the hallway and approximately the same size? Then the target group for this rental property, "shared living," is ideal. Are the rooms a passageway? Then the property is more suitable for couples or families.
• Accessibility: Is the apartment on the 4th floor without an elevator? Then you can rule out seniors or people with mobility impairments as potential tenants . You're looking for active, young people. Ground-level access, on the other hand, makes seniors the primary target group for this rental property .
• Open vs. Closed: An open loft kitchen tends to appeal to modern, sociable couples. A classic, separate kitchen is often preferred by more conservative tenants or families who want to keep cooking smells away from the living room. This sharpens the profile of your target rental property .

Factor 3: Features and standards – Who pays for what?

The standard of finish determines not only the price, but also the lifestyle of your target group for the rental property .

• Basic: Linoleum floors, old kitchen, shared laundry room? Your target group for rental properties are price-conscious tenants, students, or weekly residents. Here, functionality takes precedence over design.
• High-end: Private washer and dryer, parquet flooring, steamer, smart home? Your target group for rental properties are high earners, expats or best agers who are looking for comfort and are willing to pay for it.
• Exterior : A large garden means work. This suits the target group of "hobby gardeners" or "families" looking for a rental property, but often deters busy managers. A balcony, on the other hand, is a plus for almost any target group looking for a rental property .

Beware of "over-engineering": Installing a luxury kitchen in an apartment on a noisy main road is often a waste of money, as the target group for luxury rental properties usually also expects a quiet location. The features and location must be congruent for the target group .

The rent is the toughest filter. It defines the target group for a rental property based on affordability.

• Budget segment: Affordable rents attract a broad audience. The target group for rental properties is large, but the risk of payment defaults can be higher. Credit checks are crucial here.
• Premium segment: High rents drastically reduce the target group for rental properties . You're competing with many other luxury properties. Expectations for service and perfection are extremely high among this target group .
• Expats as a special case: International professionals are a lucrative target group for rental properties . They often pay well, but usually expect furnished apartments ("business apartments") and flexible contracts. If you want to attract this target group to your rental market , you need to invest in inventory.

Combining the analyses: Your persona

finally determine the target group for the rental property , you layer all the filters on top of each other.

• Example 1: 2-room apartment, 4th floor without elevator, trendy district, affordable standard.
• Target group for rental property: Students, young singles, young professionals.

• Target group for rental property: Families with good income, couples needing space.

• Target group for rental property: Wealthy seniors (“Golden Agers”), Dinks.

Once you've defined your target audience for the rental property , you can tailor the listing. For students, you emphasize the fast internet and proximity to the university. For families, you highlight the schools and the playground. For seniors, you mention the elevator and the shopping facilities. This way, you speak the language of your target audience for the rental property .

Why targeting the wrong audience is expensive

Why are we so focused on the target group of rental properties ? Because a mismatch is expensive.

If you rent out your party apartment in the city center to a couple seeking peace and quiet, they'll give notice after six months, fed up. The tenant turnover costs will eat into your return on investment.

If you rent out an expensive luxury apartment to someone who's barely scraping by to pay the rent, you'll face a payment default at the slightest crisis. Defining a realistic target group for a rental property is therefore a matter of risk management.

Furthermore, you save on marketing costs. If your target group is students looking for rental properties, you don't need to advertise in expensive glossy magazines, but rather on free portals or the university notice board.

Conclusion

The question "Which target group is best suited to my property?" isn't answered with wishes, but with facts. Analyze the location, size, features, and price with brutal honesty. These four factors dictate your target group for the rental property .

Don't try to artificially tailor a property to a target group of renters that the building's structure or surroundings don't support. Authenticity wins. An honest student apartment will find a tenant faster than a wannabe loft in a bad location.

The more precisely you define your target group for rental properties , the more efficient your marketing will be. You'll write better descriptions, take more suitable photos, and conduct more pleasant viewings because the expectations of potential tenants will align with reality.

If you are unsure which demographic group is growing fastest in your neighborhood or which price segment has the highest demand for rental properties for your specific target group , Loft offers detailed location analyses to sharpen your positioning.

Glossary

• Target group of rental property: The defined group of potential tenants (e.g., students, families) who are best suited to the property based on their needs and financial resources.
• Micro-location: The immediate surroundings of the property (noise, view, neighborhood). It is a crucial filter for the target group of rental properties .
• Affordability: The ratio of rent to income (usually max. 1/3). It limits the financial target group for rental properties .
• Expats: International professionals who often work temporarily in Switzerland. They constitute a specific, affluent target group. Rental property for furnished apartments.
• DINKS (Double Income No Kids): Couples with two incomes and no children. A popular target group for rental properties in high-quality city apartments.