Investing in properties near to colleges and universities represents an opportunity for those looking into the buy to let property market. This has been attributed to a number of factors, including the degree to which demand is outstripping supply and the rise in tuition fees, which will lead students to look for cheaper private rented accommodation.
However, property experts have pointed out that there are certain key issues landlords should look into before deciding on a suitable location. These include the volume of university applicants, the level of existing student accommodation in the vicinity and the level of access to major transport networks. According to the acquisitions manager for Fresh Start Living, Stuart Cook, such research will allow landlords to establish the potential of a town or city to yield a return on a student housing investment.
“Our research has found that there was a shortfall of accommodation for students in all cities across the UK, with around 100,000 units needed urgently,” stated Cook.
He added that the rise in the levels of tuition fees would lead to the demand for private student lets increasing even more, with students unable to afford the accommodation offered by the universities turning instead to less expensive private housing. Already the level of demand is so great that, according to a report in the Independent, large numbers of students have arrived at universities for the start of Fresher’s Week having failed to secure suitable housing, leading to shared rooms and universities being forced to provide temporary emergency accommodation.