In Portland Oregon we have a wide variety of universities and colleges in Portland Including: Portland State University, University of Portland, Oregon Health & Science University, Lewis & Clark College, Concordia University and the Art Institute of Portland.
There are 19 colleges and universities in the greater Portland Oregon area and this presents a huge opportunity to property owners because college students represent another income stream that’s always in need of housing but the big question is should you rent your Portland Oregon Rental Property to students?
The answer to this question depends on your own personal preference but if you’re searching for a stable source of income then renting to students should be something that you consider.
In this post we will share with you the benefits and risks of renting to students including how to get started with renting your Portland Oregon Rental to a student.
Benefits of Renting To Students:
Less Turn Over – The first benefit that comes with choosing a student for your Portland Oregon Rental Property is that you will have less turn over than you would when renting to other people because most students who go to university will rent for 4 years and they generally stay in one rental for that length of time.
Charge A Premium Rent – Another benefit of renting your Portland Oregon Rental to a student is that you will be able to charge a premium rent and most students won’t hesitate with paying it because, with roommates, students can split the cost 3 ways so you can rent your property for more than you would when renting it to a traditional renter.
Manty Students Pay In Advance – Thanks to student loans and also funding from their parents many students pay for their housing costs in advance because this helps the student to confirm that their housing needs are met for the semester.
Student Are Typically Less Demanding – When you rent to students one of the first things you will see is that they are not as demanding as other renters because a student usually uses their home for studying or sleep so you don’t have to worry about updating or improving your rental property to satisfy the demands of the tenant.
Great Advertising Opportunity – Once you start renting to students you also may be able to start advertising at the university and this will open your rental property up to potentially hundreds of more prospective tenants than you may have been able to reach through other advertising venues.
Properties Closer To Colleges Rent For More – Properties that are close to major colleges and universities in Portland Oregon rent for 30% to 40% more than comparable properties just 5 miles away.
The Downside Of Renting To College Students
Student Immaturity – Some students may be more immature than others and have little or no experience when it comes to living away from their parents.
Tougher On Rentals – Although there are many students out there who are responsible, some students may not be as responsible as others and be tougher on your rental property than other tenants would be.
How to Get Minimize Risk When Renting To Students:
Create An “Airtight” Lease – Before renting to students you should always ask your attorney to review your lease and make sure that it’s “air tight” before you rent to students because you want to avoid problems like having tenants sublet your Portland Oregon Rental because they are not in school
Require Parents To Sign Guaranty – If you’re going to be renting to students who are under age 21 you should require their parents to sign a guaranty because this means that you will still get paid by the parent if their child blows their rent money and is unable to pay you that month.
Create Rules For Your Property – Rules must be a necessity when renting to students because many students will be out on their own for the first time and more inclined to be a little wilder than others. When creating rules for your property make sure you require: no fireworks, candle burning, charcoal grills, weapons, paintball guns or anything else that could potentially harm another individual or destroy your property.
Make Renters Insurance A Requirement – Renters insurance should be a requirement when renting to students because it will provide them with an extra layer of protection should an accident, injury or another issue occur that causes destruction to your property.
Screen Students Thoroughly – Don’t hesitate to screen a student thoroughly by doing a complete background check and reviewing their credit score before approving them.
Contact Student Housing – Another way to add an extra layer of protection before approving a student is to get in contact with student housing to verify if they’ve been thrown out or evicted from student housing or not before you approve them to rent your property.
Hire Someone To Keep An Eye On Your Property – If you own a multi-family rental property and one of the units will be rented by a student you should consider hiring a third party to keep an eye on the students activities to make sure that they are not breaking their lease. You should consider offering that third party a break in rent or free rent in exchange for their services.
Create A Lease Based On The College Schedule – One of the best things you can do is create a lease based on the university’s or college’s schedule that way you can make it convenient for tenants to come and go when their semester ends. If you have tenants who want to stay for the year it’s best to create a lease agreement for the summer months that way your student tenant doesn’t have to always commit for one year if they are unable to.
Confirm Move In And Move Out Dates – You want to confirm the move in and move out dates with students because you will need plenty of time to make sure your property is ready for them to move in and you will also need time to review your property for damages when they move out.
Some Points to Keep In Mind When Advertising Your Rental
- Post Your Listing Online – Since most students these days live on their smart phones it’s best to post your listing online with websites that receive the most traffic from college students like places4students.com or www.craigslist.com.
- Choose A Bulleted List – When posting your listing online always choose a bulleted list versus a traditional listing with paragraphs because, a bulleted list is a lot easier to skim through especially for students who are often pressed for time.
- Take Lots Of Pictures – Regardless of the age of your listing you should take lots of interior and exterior pictures so students can feel like they really “know” your property inside and out before they visit it.
- Be Very Clear / Specific – During the process of listing your rental it’s important to be very clear / specific with your rental listing especially regarding what amenities, attractions, shops and stores may be nearby.
- Consider Offering Cable And Internet – Since just about every student is on a budget you should consider offering things like cable TV and internet as part of your rental.
- Make It Easy For Them To Contact You – Instead of giving a new tenant the landline number to your office consider giving them your mobile number or email address so they can text or email you when needed.
- Be Specific About Parking – It’s important to always be specific about parking, especially when you’re renting to students because, they may have friends stay with them from time to time and it’s important to be clear about how many spaces or where tenants can park at your rental home / building.
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