Student Rents Beat Conventional Apartments
Digested from GlobeSt.com
Two thirds of the well-located student housing has higher rents than the city average.
In many markets, it pays to own student housing.
A report from Yardi’s Rent Café found that 67 percent of rents at communities within one-mile of college campuses were higher than the city average.
GlobeSt.com’s Kelsi Maree Borland looked at what the Yardi data meant for rental prices near California schools and found that top universities generally offered more affordable rents.
“Renting within one mile of higher-ranked universities in California is cheaper than the city average, so the money saved on transportation may soften the blow of California prices,” Yardi’s Alexandra Ciuntu told GlobeSt.com. “Rents within one mile of the University of California-Berkeley go for $3,197 compared to the $3,167 Berkeley city average, and Stanford students pay $3,958 to rent near campus compared to renting for $3,970 in the rest of Stanford.”
Ciuntu told GlobeSt.com that students attending colleges in secondary markets would experience less volatility and that the amount of university-supplied housing also played a role in rents.
“It’s important to also consider that high-demand in certain college areas may be influenced by the lack of university-provided off-campus housing supply aimed at teachers and students alike, while the opposite applies to areas where university-owned housing helps ease the pressure on market-rate apartment demand,” she told GlobeSt.com. “What lies beyond the student dilemma of choosing between on- and off-campus living is not just personal preference, but a lot of planning and decision-making.”