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Mommy or Daddy Will Pay

By
Commercial Real Estate Agent with Windermere Real Estate/Whatcom, Inc.

If you are an agent selling multifamily property in a college town sooner or later a buyer will say "I don't want college rentals because the college kids will destroy my property". They may do just that, but if you have the parent(s) cosign on the lease taking responsibility for the actions of their child you are almost always covered.

My experience is that Mommy or Daddy makes lots of money and they are likely paying for, or subsidizing their child's education and they view housing as part of that expense.

Any property manager that works in a college town will tell you pretty much the same thing so don't shy away from college rentals, because I think they are the best possible multifamily investment. One other thing, the college campuses across the nation are almost all expanding so how can this be a bad investment?
Sean Allen
International Financing Solutions - Fort Myers, FL
International Financing Solutions

Hey KC,

Great points about renting to college kids. Wish I had had that insight a few years ago, but ohwell..hindsight is 20/20.

Sean Allen

Oct 10, 2007 08:53 AM
Daniel Sundberg
Crystal Springs Real Estate - Kentwood, MI

KC,

I've sold a couple of properties right next to a college and have another one listed.  These may be the best investments in town.  In my experience they pay better and more on-time than conventional rentals and are not necessarily torn up that bad.  Damage must be expected though. But that extra $1000+ a year will fix a bunch won't it?

Oct 10, 2007 08:57 AM
Gregory Corbett
Resource Mortgage - Virginia Beach, VA
Resource Bank
Great post. Most kids are a little more responsible than most give them credit for.
Oct 10, 2007 09:05 AM
Ryan Martin
Pacific Continental Realty, LLC - Bellingham, WA
Bellingham Commercial RE Broker
KC, It is agreed. Students make for great tenants. I have 2 students renting from me right now and they have been the best tenants to date.
Oct 10, 2007 09:30 AM