If you have lived in the house for at least two of the prior five years, you can exclude the profit from Capital Gains tax under Section 121 of the Internal Revenue Code.If your tax return filing status is "single," you can exclude up to $250,000 of capital gains.If your tax return filing status is "married (or whatever) filing jointly," you can exclude up to $500,000 of capital gains.There is no requirement for what the money is used for.  

I myself am in my second semester as a freshman in college.

The risk rises the more people do it as most residents don't want to share walls with vacationers, college kids of spring break, etc.

I am thinking to the future, trying to compound my money with time.I'm looking for any advice locals can add to my strategy, or any points I am missing.Some odd points:The reason I would like to keep around the universities is because whether or not in the future the market busts (if you believe the market is bubbling or plateauing) or the Navy expands (adding ships increases the jobs for a time then reduces after need is met), people will always go to college, meaning my first property I plan to keep for some time. 

Marketing to mainly student rentals and hospital employees.Lubbock, where these are, is a college town, with 40K students and 250K permanent residents.

IE you need to transact to live.you have kids they go to college etc etc.. 

As an initial statement, while I am interested in perspectives on the Baton Rouge market in particular, this topic should apply equally to a great number of college towns and other similar markets so perspectives from other markets are just as welcome to discuss this issue.I am interested in starting to invest in rental properties and I am enjoying all of the guides, blogs and discussion topics which I have reviewed so far.

I paid up six months of rent when I received my student loans...to be sure my rent was paid while going to college...! 

My names Jack and I'm a college student.

I'm a college student and new to investing (this is my 3rd day of using biggerpockets).