Im interested in buying Student housing rental property.
I’ve read that," I should buy my property so it coincides with the start of the fall semester as there will be more potential tenants looking at that time." Since I’ll be missing this coming fall does that mean I should not starting looking till close to the next fall semester?
But upon doing some research of when schools recommend, kids should start looking for housing the general rule of thumb seemed to be “If your school is in area where off-campus housing is limited, you may want to start a little earlier, maybe in November or December. If you live in an area where housing is pretty plentiful, you may be able to wait until January or even February. “
From this I would think that I should start looking now in hopes of maybe finding something and fixing it up by November or December when kids start looking with the possibility it will be empty till the coming fall.
Id love to get any feedback.
Much thanks in advance,
Buying homes in a School or College area is good all the time. Personally I would not look during certain times of the year but all the time. Parents and students will move if the right house comes along.
For me the right time to buy is when the right deal presents itself. All my SFR properties are occupied by either students, or staff. They have been a exceedingly pleasant lot to work with.
School being in session definitely limits the applicants, but there's still people out there shopping. I try to time my renewals to coincide with the school schedules. Maybe do a 1yr 3month lease vs a 1yr.
It depends on your area and the normal rental cycle. Are you looking to buy a rented unit or turn one into a rental. If you are turning it into a rental look to see when you would be first ready to rent it. Ideally it should be ready several month prior to the semester starting. In our area it is best to rent starting in Sept or if you rent year round in May. January there are lots of vacancies. If you want to target graduate students (they are probably the pleasant lot @Ed L. is talking about I would favor May as rent ready. I think you can't go wrong with those times. January and mid-semesters are tough.
If you are in a smaller area study what's available and what goes. In our area students have preferred areas. We were able to rent late when we first got our place but we did a short term lease for a student in transition and then got on the regular cycle for the area.
@Johanna R. in what city are you looking for student rentals?
Thanks everybody for all the comments!
@Eddie T From what I've read so far college towns ( towns that
are centered around a college) are best, but aside from that Im still trying to assess which city. I'd appreciate any thoughts on that as well.
In general, when it comes to student accommodation, families decide what is best for their children. There are three options for student accommodation: dorm, rent or buy. Some choose to remain on campus, in a student dorm. Others, with more financially supportive parents, will decide to rent and share the apartment with a colleague or a roommate. Investing in real estate doesn’t cross student parent’s mind since college is already expensive. But in the long run, if the property is shared with a colleague, is a good investment. Even after the child graduate, that property can be leased out to the next generation... and so on.
When is the best time to invest in real estate for student accommodation? When you feel ready! But to maximize your revenue, you should market your property early enough, so that the students and their parents get a better chance to find you and rent from you. I think buying in November before the holidays is the best timeframe. The future students who know that will attend that particular college will look for accommodation in advance, especially if they move across the country. Local students may start their search a little later, maybe one month before the start of the fall semester.
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