I am looking to invest in a college rental property in Lincoln, NE. Either purchasing a single family or a multi unit near the University. Can anyone provide me with some thoughts on the area?
Which college are you looking to be near?
What are you looking for in a house?
I would be looking for single family houses with 3 bedrooms or multi families homes near the University of Nebraska- Lincoln
Depending on your budget there are houses available around the campus. Because it's in a older part of Lincoln the closer to campus you are the the older the houses are. Purpose built multiplexes that are for sale are hard to find in that part of town, but there's usually always old large houses converted into duplexes or tri-plexes for sale.
Good to know! Would you say rent prices are about $350 per room and there is a good amount of demand for off campus housing close to the campus?
i.e a house with 5 bedrooms would be able to rent out for $1600 a month?
From what I have seen, houses usually rent for about 300-350 per room. As a student at the University, I think that there is strong demand for off campus housing.
Awesome, @Ben Barelman would you say more students prefer living in a particular part off campus, like closer to east campus or west campus?
@Emily Wu I don't know how familiar you are with the University, but East campus is home of the Colleges of Agriculture, Dentistry, and Law. All of the other programs are on the main "City" campus (downtown). So it depends on what each student is studying as far as which campus they prefer to live near. But there are bus routes running between them, so I think any house near the bus routes are good locations.
You're pretty close on what to expect per bedroom. We have a 3 bedroom house we just bought that will be ready for rent shortly, rent will be $900. It's about 2 miles from campus. There is a lot of new student housing projects being built right now, I'm not sure if the students are going to gravitate to that type of housing or stand alone houses.
@Emily Wu Lots of students head downtown on weekends and for recreation/socializing. As far as new housing projects, The university is building new housing set to open next fall on East Campus and there are many brand new apartment buildings that have been built on the edges of both campuses. I think students are willing to live in a house if it is cheaper or offers alternative convenience. The convenience could include close parking, privacy, maybe location, etc.
@Ben Barelman awesome insights! Thank you!
I have have few rentals between campuses and those seem to be favor for the older students (juniors and seniors) and yeah I think the 300-350 per room is a good ballpark for 3+ bedroom house when you get 1-2 bedroom house you looking at more per room but typically not as many student. I would stay away from big houses that have been converted into a multi if you're going to buy a multi buy one that was built for that purpose. With that said don't shy away from a 1-2 bedroom house. I took a 2/1 and made it a 5/3 and it's a cash making machine I've had the same group of college students in it for 3 years and it's not even trashed. If you need any boots on the ground here in lincoln let me know I'm a licensed contractor and a landlord so I familiar with potential pitfalls and perks of properties. Good luck
@Josh Nix How's it going Josh. Came across your post. Would you happen to know a HUD approved broker out in Lincoln?
@Hector Curiel Hey I'm not sure what you mean by a HUD approved broker, can you elaborate?
I mean a broker with an NAID # eligible to bid on HUD foreclosed assets.
@Hector Curiel I don’t know anyone with that ability and frankly never heard of needing a specific broker to be able to do that. The foreclosure here are all public auctions at the courthouse steps