New Graduates Should Expect to Pay More for Housing
Digested from Student Housing-Apartment Transition can be Rude Awakening Axiometrics (5/16/16) Sorter, Dave
New college graduates will likely be paying higher rents fresh out of college than they paid for their college dorms or student apartments. Unless their new jobs have high starting salaries, they may feel a little sticker shock, especially in expensive metro areas.
The key difference between student housing and standard apartment pricing models is that student housing rents are priced by bed, whereas apartment rents are priced by unit.
How much of an increase should graduates expect? Axiometrics compared the average rent for a bed at privately owned student-housing communities near nine major public universities to the average rent per bedroom in the closest major markets to those campuses.
For the 2016-2017 academic year, the average University of Georgia student will pay $502 per month for a bedroom in an off-campus student housing community. And in March, the average apartment in Atlanta rented for $617 per bedroom, with an average 1.7 bedrooms per apartment.
Penn State graduates can expect to pay $334 more in Philadelphia than they did for off-campus student housing.
Considering the luxury amenities that a lot of off-campus student housing communities have, new graduates may be paying more after they graduate and missing out on opulent features like infinity pools and outdoor media walls.