Renting rooms to students

[Scott Zeiger]

I have a single family 3 bedroom house 5 minutes from a college. I'm considering renting out the individual rooms for the first time, all inclusive including internet. I have owned it for 20 years. I'm looking for advice on the rental ageeement and how to keep the tenants limited to serious students only as I don't want a party house. The college requires 1st and 2nd year students to live on campus so that should help, hopefully. Located in Ohio TIL

[Ryan Evans]

That's good you've already cleared it with the city. I've got a friend out in WA who rents out rooms to students and is doing really well. He furnishes the common areas with pretty nice & modern furniture as well as all the kitchen/bath stuff needed. Pays for internet, Netflix, utilities, and here's the kicker - he even builds in the cost of a bi-weekly maid service. They get it all taken care of but only have to furnish out their room. He's been able to attract the best of the best kind of student tenants and has found that the premium rents cover the cost of the added bills. The places don't get trashed, it eliminates most of the drama, and is super easy for the tenants even when he has a turnover. 

If you leave it up to the individuals to furnish the place then they're always going to do it on the cheap because they don't know who the other roommates are going to be. Then it lowers standard of the whole place. Might be worth investing a bit more up front and giving the strategy a try!