Student Rentals in Demand
As the demand for tertiary or higher education continues to grow and is becoming more accessible, many campuses more often than not do not have the space to house the increasing number of students. Which means that the only real alternative for students is to find rental accommodation nearby.
If you are considering investing in the property market, student accommodation offers an array of benefits and can be a lucrative investment.
Why invest in student accommodation?
Accommodation close to universities and colleges guarantees a high demand for rental space, which means that the demand for student accommodation is much higher than the supply. So it is highly unlikely that your property will remain vacant but will rather be rented out almost immediately.
When it comes to student accommodation, affordability is a priority. So, even though the living spaces need to be well maintained, they do not need to be perfect because the students will not be long term renters and do not expect a 5 star experience.
Another advantage of investing in student accommodation is being able to increase the rental in line with the market prices because chances are that each year, you will have a new tenant.
Types of student accommodation.
There are a number of property options on the market to considering when investing in student accommodation.
A popular choice are managed apartment blocks. So a rental company would manage the building on your behalf and this is naturally a hassle-free way to invest and reap the rewards of investing in student accommodation.
Flats are also one of the popular alternatives for student lodging especially when they are situated in secure, neat and well maintained apartment blocks.
A house, which can be cost-effectively converted into a living space with more bedrooms is also a great investment opportunity for student accommodation because they can house many tenants under one roof, increasing your monthly rental revenue.
Whether you choose to invest in an apartment block, flats or a shared-house – it will be an investment worth having and will provide solid returns for many years to come.
One way to avoid the admin of the student accommodation establishment is to employ the services of a reputable property management company with many years of experience in student accommodation. They will take care of all the nuts and bolts, including the maintenance of the property as well as the legalities such as lease agreements and the monthly rental collections.
RENT360 is one of South Africa’s leading student accommodation specialists. Based in Johannesburg, RENT360 focuses on student accommodation, property management and rentals.
Contact us today for endless property investment opportunities!