Fall is near, and the influx of students is inflating the student housing market. The student rental market has been a vastly growing industry, with Academic institutions experiencing record admissions, due to high unemployment rates and competitive job market. As landlords, It seems there are two schools of thought when dealing with student renters, individuals who consider students reckless and troublesome, thus doing the natural thing and resorting to their safe demographic of tenants when renting out a place. The other lot of property owners, are amongst the ones that love the fact that student housing is always high on demand. The latter of the two has realized the student stereotypes are rarely accurate, and that they make great tenants. Students are now more aware of how to behave responsibly in their communities.
If you are considering renting a property to a student here are some key pointers, you'll need to think about when planning your business activities.
Naturally, there are two things a student looks for in a property when they're thinking about location. The first is the proximity to their university, and second is the proximity to the local nightlife. Landlords that own property in this sweet-spot will find that they're never going to have trouble finding tenants.
It's a slippery slope with student tenants when it comes to their financial obligations. Since a student's only source of income can be low-income part-time jobs, and financial aid, it is important to engage parents (or any family member) or guardians to serve as co-signors. They must be fully aware that they will be held legally and financially liable to any defaults on the rent. It is advisable to have an assigned agreement annexed to the lease that clearly explains the liabilities and each tenant's parent signs that.
Students tend to spend extended time away from their place on holidays, make sure financial arrangements have been set-up and that they are clearly communicated before the student tenant leaves town. Moreover, arrangements need to be made defining different mediums to communicate with the student renter while away. The fact that rent is payable on the first of the month, it may get neglected during the summer and Christmas time.
Pointers to promote your property to students;
The majority of students will be moving out from their family homes, it is highly unlikely that they'll have much furniture. A furnished property will get snapped up quickly. It doesn't need to be anything fancy, simply functional and hard-wearing. There is a good chance that some furniture will break, consider contents insurance.
High-speed Internet included in the monthly-rate can be a difference maker in renting out to students. The set-up and balancing various bills can be a hassle for students. Offering this service is appealing to student tenants; however, you've got to keep in mind that you're dealing with the tech savvy generation so make sure you have unlimited bandwidth to avoid going over fees.
Pre-move inspections are always a must, student or not. It must be ensured that all tenants will be held accountable for any damages beyond the basic wear and tear. If your jurisdiction allows it, collecting a damage deposit would help mitigate any potential losses once they move out.