Investing in properties that you can rent out to students has to be one of the most lucrative markets currently up and running in the UK. With thousands of young people heading to university each year, the majority of whom are moving to a new town with no permanent residence, landlords have a captive audience in their hands.
Of course, students are often keen to live together, so you will find demand for homes with four or five bedrooms is huge. And the obvious consequence of renting out such an abode is that you can cash in on numerous rents pouring in each month from a single address. But that is not to say that being a landlord of a student house is all plain sailing. You will also face a number of roles and responsibilities that you must meet in order to succeed. For instance, it is likely that you will experience a fairly regular turnover of tenants, often at the end of the academic year each summer.
At these times, it is vital that you get your property back into top shape and ready for next year’s intake of students. This is where professional help from builders, plumbers and decorators can come in useful, as they will be able to return the dwelling to good state and one that is capable of housing new academics in September. After all, students do not exactly have a great reputation for cleaning, maintaining or fixing, so putting your homes into the hands of a local tradesman or two can be no bad thing.
This should not put you off the idea of taking on student housing, though, as one expert has backed it as a highly lucrative investment opportunity. Marcus Roberts, director of student investment and development at Savills, said a good idea is to look at cities where there are at least two universities in place for the shrewdest investments.
He pointed out this will ensure you get a “double hit” of full-time students each year. “In terms of where I would place university cities, you have got Edinburgh, Glasgow, Newcastle, Manchester, Liverpool and London obviously,” the expert explained. As such, it may be in these cities that landlords should be increasingly turning to hired help each summer.
Mr Roberts was speaking just days after Ray Withers, chief executive officer of student property investment specialist Property Frontiers, said it is vital that the UK continues to build its portfolio of high-quality student accommodation. Enterprising landlords could do just this by calling in builders to create new homes or a variety of tradesmen to convert existing properties into student bases.
Whatever you decide to do, from starting entirely from scratch to taking over existing student housing and overseeing its upkeep, it is worth considering that the significant benefits of being a landlord in such circumstances do not come without the duty to maintain a fully-fitted, clean and habitable abode – something that highly-qualified electricians, plumbers and other professionals can help you with.
Are you a student housing landlord? If so, visit RatedPeople.com to find a tradesman you can trust to carry out work on your properties