All Forum Posts by: Danielle S.

I'm looking for feedback about renting to a third-party student housing provider. Specifically, I'm interested in how much they might pay vs the market rate. Has anyone worked with a company like this?

I have a 6-bedroom house very close to a training program for which this company arranges housing. It works like this:

-The company signs a long-term lease, usually for apartments

- They place students at 1 or 2 per bedroom

- They include all utilities and furniture

- They allow students to rent for the length of their training program (varies) vs having to sign a lease with a standard term

My house is considered a "premium" offering. For this tier, they're taking in just over $2k per bedroom. 

Right now, they're renting 2-bedroom apartments in new construction complexes with pools, gyms, etc. Those are a 10-min drive to the school, whereas mine is 2 mins.

My property has a private inground pool, huge yard, deck, trees, stream. It's very private but also close to a shopping center with restaurants, barber shop, etc. The bedrooms are very large compared to those apartments.

The math:

The rent on those apartments is about $2500, plus utilities and furniture rental. The total might be $3300.

They're charging the students around $4200.

So they're making around $900/mo, or $450 per bedroom..

My house:

I have 6 bedrooms, so the company could potentially take in $12,500 per month from the students.

Let's say I provide furniture and utilities, 

If they want to make $450 profit per bedroom, at 6 bedrooms, that's $2,700 ($450x6). 

That would mean I could ask for $9,700/mo.

That's about twice the rate for college rentals in this area. 

I could sweeten the deal, give them more incentive to depart from those apartment complexes, and ask for $9k.

I don't want to sell my house short, but I don't want to scare them away either. 

That's why I'm here asking if anyone has experience with this type of company. 

There are plenty of college rentals in the town, but I have limited competition because this property is unique, like a mini retreat, and it's very close to the training facility. Plus, it's already set up as a short-term rental.

.The company sent a guy out to see it and he loved it, but we haven't talked money yet. 

I know I probably answered my own question, so maybe this is a reality check.

TIA

P.S. Yes, I know students are rough on houses. An extra $4,500/mo can pay for a lot of repairs!

I started Ownerrez last year and honestly, if I don't recommend it at all. I'm obviously in the minority, because they have many positive reviews. I'm not sure why that is.

The interface is like a parody of overly complicated design. It took me a long time to set up in dribs and drabs, all while paying the monthly fees.

Now that it's up and running, I see glitches, and it's frustrating to have to go through pages of support just to find the setting that needs to be tweaked.

To be fair, the support people are nice and they do respond with videos and instructions. But I don't think a user should have to put in that kind of effort to make a simple change to their listing. 

If I didn't already so much invested in this, I would run away and never turn back.

Actually, that's the wrong link. That shows us suing the Smiths. I saw another filing where we were also suing the other founders. I tried to contact the lawyer who was representing the fund, but he didn't respond. I don't know where it all stands. It's odd that the fund isn't required to keep us in the loop.

According to this filing, the fund itself sued or is suing all of the founders. I can't imagine we're not paying for this.

https://www.govinfo.gov/content/pkg/USCOURTS-cod-1_18-cv-02780/pdf/USCOURTS-cod-1_18-cv-02780-1.pdf

I'm an investor in this fund, which is now embroiled in a lawsuit. I'd love to connect with others to discuss.

David Michael, thanks for the reply. I'm open to that. Maybe I can find a helpful landlord here. 

Hi. I'm about to rent to college students for the first time, and I'm wondering if anyone has advice on where to get a lease. I'm open to recommendations for lawyers and/or websites where I can get a standard form and customize as needed. Because of dorm closings related to the pandemic, this came about very suddenly. I have students ready to sign and I don't have the paperwork yet. This is for Ewing in Mercer County, NJ> Thanks in advance for any tips.

Thanks, Stephen. 

Sounds like a good situation to be in, aside from the noise. Have you considered renting both units to tenants and either buying or renting another place for yourself? That way you get to keep the property, and the favorable mortgage terms you got when you bought the house as your residence. If you' charge the market rate for the unit you were living in, you should be able to rent elsewhere in the same town and at least break even.

Hi everyone. I have a rental house in Ewing, NJ, that would be good for TCNJ students. I wonder if some pros here would be kind enough to share their experience with this. I'm very detail oriented, so I want to be sure I have everything covered before i dive in.

1) I noticed that student leases in the area end the day before new leases begin. How do you prepare the property for the new lease without intruding on the current tenants? Is it expected that you'll be inspecting and repairing the property during the last month or so?

2) I keep hearing how "messy" students are. What kind of expenses do you see? I expect carpet cleaning and painting. Is it often more than that?

3) How do you screen tenants? Do you background check all of the parents?

4) What kind of special provisions do you include in the lease for students?

5) Do you make separate leases for each student or do you put them all on one lease?

6) Do you find that many students continue to live at the rental in summer when school is not in session? Do you allow sublets?

7) Is there anything else you would add about student rentals?

Thanks in advance.