Before you think about renting to students, it’s important to understand the pros and cons of doing so. Just like any other potential tenant, you want to determine if they are responsible and financially capable. Ultimately, renting to students can be a risky venture or a rewarding one. It all depends on the student, their level of commitment, and the landlord. This article explains the key aspects to consider, and provides useful advice to help you decide whether it’s the right choice for your business.
The Pros and Cons of Renting to Students
- No need for expensive upgrades. College students are constantly coming and going, and they don’t require fancy amenities. Most students will be hard at work studying or out socializing with friends. They’ll be happy to have reliable appliances and a place to rest; there’s no need for extravagant fixtures and luxurious upgrades.
- Regular demand. If you own a property that’s located close to a university, you won’t have to worry about a lack of interest. Students need a place to stay every semester, and they often turn to off-campus housing for a cheaper alternative. This means you’ll earn steady profits while offering an affordable option for younger generations.
- An upbeat, lively environment. Students can be a handful sometimes, but they also contribute a great deal to their communities. Welcoming younger generations means supporting future leaders and helping them grow. Giving young people the chance to be tenants for the first time is a great way to do that
- More turnover. It’s inevitable; most students won’t be long-term tenants. For some property owners, the constant turnover can be a hassle. If you rent to students, people will be moving in and out on a regular basis.
- Potentially irresponsible tenants. Plenty of college students are dependable and trustworthy tenants. With that being said, some students spend more time partying than studying. This could lead to property damage and additional maintenance needs. When renting to students, you’ll have to be prepared to put out a few fires (hopefully, only in the metaphorical sense).
- Minimal financial history. Students are usually young, and they may not have built up credit history or rental history. This can make screening difficult and more time-consuming.
The Verdict: Should You Rent to Students or Not?
Renting to students can be highly rewarding, but it also comes with its own set of challenges. Before you make a decision, you have to understand your own expectations. If you’re looking to generate upscale rental properties that attract luxury buyers, you probably don’t want to rent to college students. However, if you’re located close to a college and demand is high, you may want to give it a try. Everything depends on your specific situation and what you hope to learn from your experience as a landlord.
How All County Denver Metro Can Help
Are you considering renting to students? When it comes to resolving challenges for landlords, we’re experts. All County Denver Metro Property Management is here to help property owners have confidence in the quality of their tenants and the security of their property through knowledgeable and trustworthy property management services. From managing tenant relationships to pricing rent to lease enforcement, we look forward to working with you to see how your investment can be a long-term, stress-free asset. For a complimentary quote or more information about renting to students, call us today at (720) 575-6100.