Temple University Student Housing

[Harry Brodsky]

Hi BP!

I live in NYC, and I am looking to invest in the Philadelphia market. I've been focusing on Brewerytown and the Temple University area. I have a partner who lives in Philly and would manage the rentals. I'm aware that things can get a bit rough when you go west of N. Broad and north of Cecil B. Moore. That being said, does anyone have any experience, insight, recommendations, or warnings when it comes to student housing (or housing in general) in the Temple university area? 

[Star Little]

I would agree with everyone's comments about the Temple area becoming oversaturated however, I also agree that there is opportunity for more affordable student rentals (as opposed to luxury high-rise properties).  I think the biggest issue is making sure you want to be in a student housing market.  It's very different from other market rate rentals -- high turnover, roommates issue, lots of maintenance issues (from not knowing how to use appliances to repairs from parties, etc.)  The Temple area is also sort of an island so your only market is the students and if you don't lease before school starts, you're going to be sitting on a vacant property for a while. Each student housing market has it's own nuances that have huge impact on the profitability of your rental property.