I believe the value would get passed to them and the current market rate. 

I am seeing a trend in CA that ADU construction is more cost effective (per unit) than buying on the market by a long shot.

Exit StrategyResale Planning: Research market trends for optimal selling timing.Long-Term Investment: Consider retaining the property as a rental post-graduation.Marketability: Choose a property with appeal to future students or young professionals.By following these steps, you can make a well-informed decision and ensure a successful investment that benefits both you and your student during their college years and beyond.Peter Derry PHD Properties 

Cleveland is a great market, but hopefully my warning here will help you avoid the headaches I endured.

@Emily Gowen so as you pointed out you would not have to do a 1031 exchange on your current home to avoid the capital gains tax and coupled with what Dave Foster pointed out I think, speaking from experience you would have a high likelihood of success. 

These properties are now rented as long-term rentals, and we plan to expand our portfolio while also branching into short-term rentals.Looking back, I realize how much my current knowledge and experience could have fast-tracked our success.

I would choose the strategy that best fits your strengths (unfair advantages) and what the market in your area demands.

Find someone who's doing what it is you want to do in the market you want to do it in and bring them value to learn.

What markets are you looking at?

I am not in North Carolina, but I am in 11 other markets and would be happy to chat to answer any questions.