Is Investing in Student Housing a Savvy Move? A Guide
Nearly 34% of Americans invest in real estate on a yearly basis. As the housing market continues to rebound, people are looking for new and unique ways to get into this type of investing. If you are looking for a great investment opportunity, buying a few student housing units is a good idea.
The great thing about these housing units is that they are in just about every college town. However, before investing in student housing, you need to do some market research. Figuring out where the best deal on these units exist is no easy work and will usually require professional assistance.
The following are some of the reasons why investing in student housing is a great idea.
A Recession-Proof Investment
One of the main concerns that most people have when trying to invest their money is choosing investments that are low-risk. While there are a number of investments that will be affected negatively by a recession, student housing is not one of them.
In reality, a recession is usually a great motivator for people to enroll in college. Most people view having a college degree as a way to land a job that is both stable and lucrative. This means you won’t have to worry about your student housing investment taking a nosedive should the economy take a turn for the worst.
The Reliability Factor
Most people who move into a student housing building will get their parents to cosign with them. This is done because a student will not have a credit history, which can make getting an apartment solely in their name impossible.
By having tenants with a cosigner, you can rest assured that payments will be made each month. Having the extra level of protection a cosigner adds to a student housing investment can help you avoid stressing out over when you will see a return.
No Need for Luxury
Some people are apprehensive to invest in residential or commercial properties due to the high level of maintenance they need. While you will have to invest time and money into maintaining a student apartment complex college station, you don’t have to worry about investing in luxurious upgrades.
Students do not demand a long list of luxurious amenities in the housing units they choose. This means you can focus on simple maintenance and save money.
Before investing in a particular housing unit, allow a professional to thoroughly inspect it. This inspection will provide you with information about any damage that is present. Trying to buy one of these units without a professional inspection can lead to lots of mistakes being made.
Investing in Student Housing Is a Wise Option
As you can see, investing in student housing can be quite easy and lucrative. Finding the right student housing units to purchase will require lots of time and research.
Are you looking for more advice on how to invest your money? If so, check out the rest of the articles on our website.