Pros and Cons of Renting to Students

By E-Renter Tenant Screening
Posted on June 28, 2011 under Landlord Tips, Lease and Rental Agreements | Be the First to Comment

It’s summer, and that means plenty of moving action in student housing. Turning over apartments and multi-room rental houses, summer moves home and new students moving in make it a busy time of year. With room and board fees increasing 6.5% each year, on top of skyrocketing tuition, many parents are looking for student rentals as on-campus housing alternatives.

If you own a rental property in a college town, you may be thinking about whether or not to lease it to college students. Here are some pros and cons for you to consider when making your decision:

PROS of Renting to College Students

• Parents typically pay the rent, on time, every month. (Maybe they don’t want their kid moving back home!)
• Students are often willing to pay top dollar, since living close to campus is highly desirable.
• Grad students and med students are often quiet, clean and too busy to make much of a mess.
• Students don’t typically break leases—they’re too busy during the school year to move.

CONS of Renting to College Students

• They are messy. They can be VERY messy.
• Zoning laws often preclude renting to more than a couple of unrelated individuals—be sure to check the laws in your area.
• Student rentals may require more repairs, repainting and other maintenance during and after the lease.
• Students like to party. Not all of them, certainly—but they can get a little crazy trying their new freedom on for size.

Tips from Landlords With Experience Renting to Students

• Be sure your lease is ironclad and more detailed than you may think it needs to be. Consider higher maintenance and repair costs when establishing the rent and security deposit.
• Establish noise limits and inform students that neighbor complaints will be dealt with severely.
• Always have parents co-sign the lease: at least one parent for each student-tenant.
• Don’t allow anyone who is not on the lease to stay in the rental unit. Temporary visitors tend to turn into unscreened tenants.

Student rentals can be lucrative, but do require a firm management style and frequent communication. Many landlords love renting to students and have no problems, especially when they are properly screened before the lease is signed.