All Forum Posts by: Jeff L.

@Jeff L.

Students here in San Marcos expect to pay for one room and utilities. I would estimate that 60% of the people there are students. It's probably the same where you are.  It seems to be common practice and expected. I'm actually surprised I haven't heard about this more often. I would call a couple student living condos where you are and see what you would have to pay as a student (what is included or not i.e. utilities etc.).

I have also thought about this strategy. I just graduated this last December, and from my experience the total amount collected for rent is way higher that way. For example, my friend is renting a room for $650, and so is 3 of her roommates. Nothing fancy but they each have their own bathroom. No yard, and the rooms are not even that big. She complains because her dog had no yard to play in. Not to mention, there is hardly any room for parking. So long story short, nothing too fancy. Total is $2600 collected for rent, not even counting what they pay in utilities. That same house in that area to a single family would rent for $1400 tops after looking at what other people are paying in that area.

Best of luck!

I know a guy who's having some success with this in Orange. He has the parents cosign and said there is not a lot of risk of eviction or nonpayment. He did let me know that wear and tear on the homes is incrediblely high, so that needs to be factored in to your numbers. Obviously turnover is also higher. 

Hi Jeff!

I don't do this personally but I'm fresh out of college and got some knowledge from a friend's landlord. Also throwing in my  feedback from going through apartment/house searching.

 You definitely can charge more per person for renting a room vs the whole house, big pro. But cons are managing 3-4 people instead of one family or group. It's not bad when you have 4 responsible tenants but it gives four opportunities for something to go wrong instead of one. Late /no rent payments, roommates might clash and you/PM have to deal with complaints, more likely to damage because lack of a sense of ownership. You can get property managers who specialize in it and likely you'll pay the same percentage you would for a family.

My suggestion would be rent to a group of friends, professionals ideally but college students too. They look at it as they're paying for just themselves so you can probably get the same amount per person as if you were renting per room. I would even write it in the listing: "$500/mo per person" as opposed to "$2000/mo". You also get the some of the same benefits of a family; accountability with paying and mitigating potential damage being the biggest pro. Additionally less issues will come to you/PM because they're more likely to work it out themselves. Con being potential parties since they are familiar with each other which can lead to damage.