College towns are great places for real estate investments because they have a steady stream of students and faculty in need of housing, as well as having the potential for growth as the universities expand. College towns are inviting even to those concerned about a location’s job market. Many retirees in fact are choosing to move to college towns because of the variety of cultural and lifestyle benefits college towns offer. The U.S. population is expected to grow about 1 percent a year between now and 2050, but towns and cities with large universities will grow at three times that rate.
According to The New York Times. “With demand for private student housing expected to remain strong for the next several years, industry experts say, investors can almost bank on steady rent increases regardless of economic conditions or the interest rate climate.” Additionally, the cap rates will often exceed those of multifamily homes.
As universities grow because of the increasing student body population, onsite housing is often insufficient to meet the housing needs. Many students are either forced to or choose to live off campus. These students make up a steady stream of potential renters. Because of the high demand for off campus rentals in college towns they are often less vulnerable to housing price declines than non university towns. When renting to students, be sure to get a substantial deposit to cover damage and cleaning costs, or in case your tenants decide to stop paying rent. Students may not be the easiest on your property so be sure the security deposit you collect is adequate.
Living in an apartment during college can be the highlight of a student’s life. You’re away from home, living with friends. You don’t yet have the stresses of a full time job. You only have a few hours of class a day. And there are always opportunities for fun. There are many advantagess of living in student housing, especially your first year attending at the college. There are also many social and academic benefits of these living situations.
Students that live right on campus in student housing, have higher graduations rates than their fellow classmates that reside off campus or at home. A number of factors could be the cause of this trend; one of the main factors is that there is no alcohol allowed on campus in student housing. With no alcohol permitted, partying is not as convenient as it could be living with friends off campus. Students that live in the on campus student housing tend to have more involvement with campus activities, such as clubs and committees. Any time that you take part in any extracurricular activity you are making your college experience more enjoyable and building your resume.
Safety on campus will always surpass any that you could get in an off campus apartment. Universities have campus police that patrol around the student housing units on every campus.Living on campus also allows you to save money. If you are on campus in student housing you will not need to drive to class. With gas prices on the raise, leaving in student housing could be one of the top money saving options. Student housing is also very close to the university library, book store, campus store, health centers, gym and dinning hall, thus allowing you to avoid traffic and using unnecessary gas once again.
If you are not ready to make the jump of living on your own right as soon you graduate high school, then student housing is a great way to transition slowly into the real world. While you are mostly on your own, there is not as much responsibility that is thrust upon your shoulder in student housing. Most student housing options come with a meal plan, cleaning services, and laundry services,making it easier for you to transition into your new found freedom. Student housing is a melting pot of culture. What better way to get to learn about other people’s beliefs and traditions than to live in and environment in which everyone one around you has freedom to express themselves.
If you are truly looking for the full college experience, than maybe the student housing option is the right choice for you. There is no better way to see what you are made of as a human being, then embarking out on your own and taking the time to learn what it is that you find important. Student housing opens the doors to many clubs and cultural events and can open your life up to new people and new views. Keeping the communication channels open is vital to living with college roommates. Always be willing to give a little and chances are they will return the favor.
