Adding student rental properties to your real estate portfolio is a great way to diversify your investments and earn some extra rental income. Student housing is always in demand, and a strong pool of student tenants will always be available.
Managing your student rentals will be a bit different from managing other types of rental properties, however. We want you to be prepared, so as your professional Hamilton property managers, we’re sharing a few tips with you today.
Make Sure You Have a Strong Lease
The lease agreement you require your tenants to sign should be specific to the students who are renting your home, and cover some of the most important expectations and responsibilities. For example, you’ll need to include language that prohibits public nuisances. Tenants will need to comply with noise ordinances and legal requirements. You’ll need to collect information on guarantors such as parents so you’ll be able to hold someone accountable if there is damage to the property or rent goes unpaid. Make sure the lease states who is responsible for maintenance and landscaping. You should prohibit graffiti, smoking, illegal activities, and student-specific activities like parties and long overnight guests.
Be Consistent with All Your Tenants
Usually, you’ll have multiple tenants renting out your property. It’s important to make sure all of them understand their role in maintaining the property, paying rent, and following the lease terms. Many students are renting a property for the first time, so be specific when you explain how rent is to be paid. You can decide whether you want to collect rent individually from each tenant or if you want them all to pool their funds and make one payment collectively. Make sure they understand how much is owed, when it’s due, and what the consequences will be if it’s paid late. Get their contact information and make sure they have yours. Tell them how to submit maintenance requests and what they aren’t allowed to do. The things that may seem obvious to your other tenants in other rental properties will not be obvious to your student renters.
Respond Quickly to Maintenance Issues
Your student tenants may not require things like stainless steel appliances, granite counters, and hardwood floors. But, they will expect a habitable and clean home where everything is functional. Don’t let deferred maintenance run away at your property just because it’s occupied by students. Respond to even minor maintenance requests quickly. This will give you an opportunity to make sure everything inside the property looks good and your tenants are following the lease terms. It will also protect your investment from more expensive problems. Conduct inspections and respond to maintenance needs in a timely manner.
Your student tenants will likely move out of the property after the end of the school year, so make sure you are prepared for varied lease terms. As long as you’re clear about your expectations and willing to communicate with your student tenants, there’s no reason to believe you won’t have a successful rental experience. If you would like some help renting a property to students, contact us at Spotted Properties. We have a lot of experience, and we’d be happy to share it.