Student Property Investment Guide | Investing in Student Accommodation

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Student Property Investment Investing in
Student Accommodation
If you are an active property investor reviewing
the different types of investment available in
the property and real estate investment arena
then you may have already come across student
property investment opportunities. If you havent
then now might be a good time to take a more
detailed look at what student accommodation has
to offer property investors. Every year,
thousands of young people from all over the
United Kingdom leave the family nest and head for
university. Despite the rapidly rising cost of
study, the number of youngsters going on to
further education is set to continue to grow.
Additionally, the number of international
students coming to the UK to study is due to
increase by 10 over the next decade.
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Types of Student Accommodation
Student accommodation can be any type of property
including houses, flats, private halls of
residence etc. with multiple tenants in single
houses being the norm. If you own a property
occupied by multiple student tenants, rents are
typically charged on a per student basis, giving
you a much higher rental yield per property, than
a house occupied by a single tenant or family. It
is also useful remembering that the closer the
property is to the college or university, the
more rent you can usually charge. Ideally, the
best student property investments to buy are ones
located right across the street from the
university but if this is not possible, look for
properties that are within walking/biking
distance, have easy access to public transport
and are close to the city/town centre.
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Best Locations for Student Property
London is the obvious choice for property
investors due to the large numbers of students it
attracts, but it is also the most expensive in
terms of the initial investment, making it
important you pick the right area and the right
property. In the Student Property Index 2012,
real estate specialists Knight Frank reported
that London will remain a top student property
investment opportunity due to limited
availability, but it also put Brighton, Durham,
Edinburgh, Kingston and Manchester at the top. A
good tip for any property investor looking at the
student accommodation sector is to choose the
university towns and cities that attract the most
students.
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Standards for Student Accommodation
Many students today have high expectations and
are prepared to pay increased rents for good
quality accommodation and a caring landlord. A
good tip is to focus on giving your tenants a
clean, well maintained and fully furnished space
for them to spend their university years
in. Students are a very sociable group, so a good
size lounge and kitchen area would be great
selling points. View More
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Landlords Insurance for Student Property
If you are serious about student property
investment opportunities then youll need to
consider taking landlords insurance to protect
your investment. Landlords insurance is crucial
if you wish to invest in student property as it
covers many types of accidental damage, including
fire, flood and broken windows. It may also cover
lost rent payments if your property becomes
uninhabitable due to an insured accident and will
help to find your tenants alternative
accommodation whilst your student property is
being repaired.
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What to Consider when Buying Student Property
Student property investment is no different to
any other form of investment in that you should
always research thoroughly before you buy. Look
in depth at the area you are thinking of
investing in. Check the number of applications
each university receives annually and how well
each one is performing. Universities that
recruit a lot of overseas students may provide
the top student property investment locations, as
they continue to boost their global standing. Do
your calculations, make sure the property you
choose is within your price range and is suitable
for turning into student accommodation.