lately I have been thinking of investing in some college town areas where they is a demand for rentals to college students. Some areas can be city like Boston or Atlanta, and others can be more urban like Gainsville in Fl,or maybe areas in TX, etc…
So anyone buying large 4+ Br homes in any college areas and renting them by the room out?? How has it worked so far?? I know these rentals will be somewhat seasonal with summer breaks so wondering what is the percentage leasing years, oppose to just during the school yr.
I have done a couple of loans like this for investors. Have the parents co-sign the lease for the children, that way if the kids get out of line or destroy the house you have more security that you will be compensated.
with all that happens in college, especially off campus, you better damn well have excellent insurance.
what about strict leases like:
no alcohol to anyone under 21 etc.
put in explicit rules, this way, if anything happens, you just refer to the rules of the lease.
also, i went to SUNY oswego and i saw what we did to these homes. it’s aweful. kids DO NOT give two SH*TS what happens. they knock down doors, punch holes in walls, do drugs, drink heavily and f like bunny rabits, god forbid some girl accuses one of your tenants of rape.
i mean, how do all these circumstances impact you the landlord? i mean, take out the “rape” part because that’s a stretch, but all the rest of it, that’s what happens. doesn’t matter if you rent to a bunch of girls - they can be even worse.
Video tape the condition of the property at start of lease.
If the damage exceeds the deposit amount (students know they will never see their deposit money again) you threaten to sue the kids first. The parents will step in 90% of the time because they don’t want their kids credit screwed up. If the parents don’t step in on behalf of their kid…sue them both.