Student Rental: 4 Bds w/ large living or 5 bds w/ small living?

[Emily Paul]

Hello,

My husband and I are newbie investors closing on our first duplex (woot, woot!) on Tuesday. The property is in a college town of Oberlin, Ohio and only blocks from campus. We are struggling with determining the layout of the upstairs unit that would allow us to optimize rental income without jeopardizing too many college students with a very small living room. We are looking for advise on how to balance this.

Currently, the second unit is listed as a 3 bd, 1 bth (rented to students per room). The untapped potential here is the addition of 1-2 more bedrooms.

We have the option of converting the current living room (225 sq feet) into a bedroom and adding a bedroom in the attic. The downfall for this option is the students would lose the large living room (225 sq feet) on their main floor and have a smaller living space (156 sq feet) on the second floor (attic).

Option A: Keep three bedrooms on the second floor with a larger living room; and turn the attic into a suite for a total of 4 bedrooms with larger living room. OR

Option B: Make into a 5 bedroom with a smaller living space on the second floor; total of 5 bedrooms.

There is very little data on college rental preferences and we want to make the best of our first property!

Thanks for any advice or thoughts –

Emily

[Michele Fischer]

Most college students want private space and they have a lot of alternatives for hanging out in public spaces away from the house.  I'd go for the five bedroom option.