How big of a project are you looking to take on?
There's extremely stiff competition for student housing in downtown Waco. If you want to build another $40M development then you'll have to really cut your prices in order to comete. You'd probably be better off investing your money elsewhere in this case.
But if you're just looking to buy a single family home to renovate and rent out rooms or a 10 unit or less apartment then your maintenance, utilities, employee costs, and general costs will be lower. This will give you the luxury of lower maintenance costs and you'll receive more net income per room.
A market for student rental homes does exist and it's still strong in Waco. There are students who do look for this type of housing, just make sure to beware of their motives for this. Some of the students don't want the strict rules of student housing in the dorms and apartments so they rent a home to party, drink, smoke, and just wreck the home in some cases.
Hope this helps in some way!
Chance Shilling, REALTOR®
