As anyone with university age kids is probably aware, the A level results were published at the end of last week, which means thousands of hopeful teenagers are now desperately trying to secure limited places at their preferred university via the clearing system. And even more importantly for landlords, the race is also on to find decent student accommodation in close proximity to campuses, pubs and entertainment centres!
Like the rest of the booming rental market at the moment, the demand for student accommodation is far outstripping the available places, and in the most popular university cities such as Edinburgh, Glasgow, and Manchester, decent student housing is being charged at a premium.
If you operate your business in a university city, you might already have rental properties aimed at the student population, but if you do not, it is definitely worth considering diversifying into the provision of student accommodation. With demand so high, you can expect a continued rise in the average weekly rent charges on student accommodation, and with the average university course lasting at least three years, as long as your accommodation is of a decent standard, you can enjoy long term tenants and guaranteed rental income.
Of course, there is a downside to marketing your rental properties at students: on the whole, students are not known for their quiet lifestyles and attention to housework and hygiene. But as long as you decorate accordingly and do not spend a fortune on high specification kitchens and designer bathrooms, you are not going to lose out if you eventually want to sell up.
