Property managers learn how to plan for student vacancies
Owning rental units in college towns can be one of the most profitable decisions that you can make as a landlord, but it does come with some unique concerns. With student tenants, you will have a high turnover of students and the students will often leave at the end of the school year. You will also need to be concerned about additional tenants and roommate situations, which can be sometimes unpredictable. But with the proper management, and the proper management company, these things can be handled without too much fuss.
Rental units in college towns are almost always filled, and filled quickly. Most college students today use online listing sites to find their rental units, and many students have their parents do the looking for them. Since a lot of these students come from out of town, they may need to make arrangements from far away. A lot of these students will also be using roommates, which makes it important to draw up multiple lease agreements with each individual.
While there’s a higher turnover rate for college rentals, and thus more unoccupied time, college rentals also tend to be slightly more expensive. This means that the extra revenue you make during school season should be calculated to be enough to compensate for the vacancies as the students leave. Property damage can also be avoided by collecting the deposits and by making sure that the contents of the property are durable and withstand wear.
A management company is the best option to deal with the maintenance of college rentals because they can be on call to deal with things such as appliances. These things will happen often with college rentals, and college students often don’t know how to deal with issues of minor maintenance such as a window screen breaking.
A management company is also helpful to do the appropriate background checks and due diligence with the students and, if necessary, with their parents. This is the best way to make sure that you get the most reliable and trustworthy tenants, as it can be very difficult to deal with a tenant who has already become a problem. This also means that the management can draw up the tenant contracts for you to make sure that you are completely protected in the event that anything happens.
Since many parents look for apartments for their college-aged children, you should always emphasize things that they would be looking for, rather than what the children will be looking for. This means promoting security and a quiet neighborhood, rather than proximity to clubs and bars. Even if kids are looking for the nightlife, many of them still require final approval from their parents on a place, especially since their parents are often the ones footing the bill.
College towns are one of the best places that you can purchase rental properties. While there are often vacancies every year, the rent amounts tend to be higher. Financial aid, student loans, and conscientious parents virtually ensure that you will always get your rent in full and on-time. Having a reliable background and credit check can also help relieve any further worries.
With a student rental, there are two major concerns: property damage, and roommate issues. Both of these worries can be reduced by following the appropriate protocol. For property damage you should create a durable and easily maintained interior and collect deposits. For roommate issues, you should be clear that every occupant is responsible for their own lease and that guest cannot stay for longer than a reasonable term. With these items in mind, you can make your college rental experience a happier and easier one.
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Author Bio:
Catalino Jr Calacar is a professional writer, who is passionate about writing articles. He has contributed many articles to different blogs related to orange county property management, property management, real estate property management and tenant property management.
