You can make a lot of money renting out property to students if you are located next to a university or college.
There are certain things students look for when they’re looking for accommodation including how near it is to their place of learning, whether it is affordable, how close it is to social amenities like entertainment areas, shopping malls amongst others, how accessible it is to public transportation because most students do not drive, safety of the area amongst other factors.
You will have to factor in certain aspects like noise from the students because this age group tends to be very boisterous and you may also be better off insisting on having a security deposit.
So if your property ticks off on most of these things, you want to consider getting student tenants. What are the advantages of having students as your tenants?
Advantages of renting to students.
It is unlikely that you will miss tenants.
Many colleges and universities do not have the ability or capacity to provide housing for all the students. These forces most of the students to live outside of the campuses and so there’s always a very high demand for the housing.
Students will also tell each other about vacancies and you will find that you don’t have to spend much on advertising your property. This is especially in the case where the students find the rental property good to live in and they will want to bring in their friends. Word of mouth referrals really works with student tenants.
You can get higher rent.
Students generally do not live alone, this means that you can have a policy in place that charges for the number of heads and not the structure. So if they share the facility then you get to collect rent from both of them. The fact that there’s always such high demand also gives you a lot of room to get more rent from your properties.
Since students rarely pay the rent on their own, you’ll find most parents prefer to pay the rent in advance, sometimes even for a full semester to avoid the inconvenience of making monthly payments. This not only protects the owner of the house from not getting his rent, but it also provides lump sums that can be put to good use.
Students are not very demanding.
Most students just looking for a place to live and one that is near their college or campus, they are therefore less likely to be very demanding about the type of accommodation. The fact they spend very little time in the rooms because they’re mostly in the college or library means that they will not be too particular about things. Of course, this is not true for all students.
If you have property near campus or college, you should definitely consider renting out to students because you will always have customers, and they’re not as demanding as other customers can be. However, remember to do proper screening and get a parent or an adult to co-sign on the lease.
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