student accomodation

[Sarun Rath]

anybody, please give me comments on sucess story and challenges of renting out student accomodation.

Thank you beforehand. 

[Karl Pierre]

HI @Sarun Rath

I have been renting to students for 8 years now and it is rewarding yet has challenges that are unique to college rentals.  Based on my experiences the best way to offset risk is to rent properties by the room.  By doing so you will yield more money per a property and diversify your payers so that there is revenue coming in all the time.  If you rent the property to a group and the leader of that group decides not to pay or they are late you are screwed however the chances of all your students not paying you is low.

Tips:

Buy a property within walking distance to the school if available

Rent by the room

Purchase your property so it coincides with the start of the fall semester as there will be more potential tenants looking at that time.  Never purchase mid semester.

Do not rent to groups of friends , it's a recipe for wild party's and inevitable disasters.

Hire a cleaning service to keep an eye on things and provide regular maintenance.

Collect rent with some sort of online payment portal

Before buying test the demand for housing and pricing by posting an add on craigslist.  Also use other craigslist postings in that area to gauge the market.

Let me know if you have any specific questions.