Posted on: 17 October 2019
Whether your child is just beginning their first year at college or you're looking to expand your real estate portfolio, it may be wise for you to purchase a home to use as a rental property for them to stay at. With a dorm room being unappealing and the cost of apartments for rent being quite high in college towns, it could be best for you to purchase a home with all the benefits it can come with.
Instead of rushing into buying a house due to the pros compared to renting a place, consider the following issues that can arise when buying a home to use as a rental property.
Potential for Damage
One of the biggest concerns you might have when renting a home in a college town is that there is a much higher chance of damage to the interior and exterior of the building. When you're renting to college students, the tenants have likely never lived in a place away from their parents before. This newfound freedom can mean that they don't take care of their living space as well as they could, resulting in damage that can be frustrating as a property owner.
When you're renting to college students, you need to be aware that long-term renters simply won't be a thing. Instead of being frustrated with this fact, it's best to get comfortable with the idea that you'll be cleaning up and showing the rental each summer.
Finding a reliable property manager that can handle showing the apartment and taking care of maintenance can make it much easier for you and help you avoid issues where you're spending too much time managing the property and the frequent turnover rate.
Lease Length Issue
Another issue that can arise when you're renting the property to college students is that the students and their parents will likely be looking for apartments and houses that rent month-to-month or for only part of the year. Deciding what is best for your situation can make a big difference in how easy it will be to find tenants.
As you get started with finding houses to rent out, you'll want to see what you can do to make sure that owning one of these properties won't be too difficult. With the above concerns in mind, you'll know what to expect and will be better able to find a property that suits your needs.
Speak to a real estate broker near you if you have further questions.Share