Should I Rent or Buy a place for my student while they attend college?

Part I

The question of rent vs. buy may be one of the most discussed questions in all of real estate. After all, it’s the starting point of really any real estate decision. It’s the question that we answer, consciously or sub consciously, before we even begin looking for our housing.

Financially savvy parents have been buying condos and houses for their students to live in while attending school for years. They are known as kiddie condos in the real estate industry. The concept is nothing new but I believe that there are more people out there than just the investor minded that can take advantage of some truly valuable returns.

What if buying a house or condo meant investing in something more than just a piece of real estate?

The experience of managing people and property while attending college can teach lessons that will provide invaluable insight to help our children better face the real world. Can we put a value on preparing our children in a very practical and tangible way for what they will face post college? This is where the MasterCard commercial comes in and says, “priceless”. I think it is important to consider some of the less tangible benefits that owning a piece of real estate can provide for our students.

From a practical side, college towns provide surprisingly consistent growth that is largely insulated from the regular ups and downs of the market. Every year thousands of new students pour in and thousands graduate out. Many of these student’s parents will be shelling out the dough to cover housing and expect to pay a pretty penny for it.

In this first blog entry I just wanted to highlight some of the less tangible returns to consider in whether or not buying vs. renting makes sense in your situation. In my next entry, Part II, I will cover some of the more practical questions that we should consider in trying to answer that question for ourselves. Should we rent or buy?

If you are interested in researching this more you may want to check out our College Real Estate workbook that takes you through the process of buying property in a college town. It has work sheets and real life stories on what not to do that will assist you in whether or not buying is the right choice for you.

College Real Estate Opens 20 new offices for College Housing

College real estate announces the addition of the following offices. Austin Texas,Abilene Texas, Dallas Texas Fort Worth Texas, Houston Texas, Waco Texas, San Marcos Texas, Gainesville Florida, Kansas State Kansas, Tulane, Loyola – New Orleans Louisiana, Bowling Green State University, Ohio State University, University of Cincinnati, University of Mississippi, Ball State University – Indiana Samford, UAB, Birmingham Southern Harvard, MIT, Tufts, Boston University, Northeastern University – Boston University of Iowa, Mississippi State University, and Oregon State University. The addition of these markets expands College Real Estates coverage of college housing needs through out the country. With these new location now on line college bound students, and parents of students can locate housing near campuses in all the new markets with our professional managers and agents. For more information visit the web site at www.collegerealestate.com

College Real Estate Sponsors Free High School Sports Coverage

College Real Estate supports High School sports by sponsoring game coverage on www.pennyentertainment.com. Viewers may select from over 400 games archived from 22 school districts. Coverage includes games from 2001 through the 2007 season. Bowie High School from Arlington Texas is playing some exciting football this year. Check it out.

WHEN IS THE RIGHT TIME FIND COLLEGE HOUSING?

College housing is always a challenge when placing your student in a suitable environment for College Studies. Often the best choice for the freshman year is in a dormitory. When year two arrives it may make a lot of sense to explore owning a property. At this point in your students college career they are sure if college is something they intend to continue. Looking for properties for the sophomore year should start in late fall of the freshman year. This timing is important for finding the best properties. A good college property will be located near a good traffic corridor with easy access to the campus. Many colleges offer shuttles and other transportation options, so be sure to look into the various options. Selecting a property in the right location will pay dividends. College Real Estate is a good place to get sound advice on your college investment. It is not uncommon to recover the expense of college with a wise property buy near a college campus. College Real Estate at the top 100 campuses appreciated on average 20% a year. If you are looking to lease a college apartment be sure to start early to have the best options for pricing, location, and amenities. If you student is still in High School, it is smart to start investigating housing options in the fall of their senior year. This will begin to build your knowledge of the market and follow the trends so you can make the best housing choices.

Trend Towards College Student Housing

With the real estate scare going on, savvy investors are looking for safer more sound real estate investments to make. You can pick up any newspaper today and flip through the real estate section and read an article about the future move towards investing in college student housing.

The advantage that the housing market around universities has over others is the constant demand for housing. Every year the enrollment increases all across the nation thus creating a surplus of potential renters.

So we are to the age-old question of whether you should buy or lease. While reading this article or any others you will not be able to formulate an educated decision. We do recommend that you speak with a loan officer and get pre-approved before you even start looking for a place to live so you know how much house you can afford.

Another resource that we offer at www.collegerealestate.com is our real estate guidebook for investing in student housing. This book walks you through the entire process and helps you decide if purchasing is a smart decision for you.