I think I've reached the point at which nothing property-related can astonish me. I'm mistaken. I discover recently that, according to the National Landlords Association, students are among the most reliable tenants in the land.
If you're as astonished as I am, read on. Students score highly on a number of different measures. First, they are least likely to miss a rental payment. Seventy-one per cent of landlords with housing benefit tenants have experienced rent arrears over the past year; the comparable figure for landlords who let to blue collar workers is 59%; for landlords of students it is just 38%.
Secondly, and perhaps less surprisingly given the regularity with which the academic year comes round, student landlords also experience the lowest incidence of empty properties. Less than 30% have had vacant properties during the summer months. This is way down on the figures for those who let to families (40%) and older couples (49%).
I may have saved the best 'til last. Renting to students can be very profitable for landlords. Student tenants offer one of the highest rental yields: 6.7% compared with a UK average of 6.1%.
As with any opportunity that looks golden, there will, of course, be pitfalls. The biggest challenges probably stem from the nature of the tenants themselves. For many students, going to university is their first experience of independent living. There's an education job to be done here, and it has absolutely nothing to do with university courses.
In addition to an extremely explicit tenancy agreement, you will probably also need to explain their obligations to your student tenants in person. I know of students who genuinely thought they didn't have to pay rent to the new landlord when the house was sold - because they'd signed the tenancy agreement with the previous owner. Yes, well, it's an education case in point.
I think there are also a number of other givens: furniture, above average wear and tear, regular inspection visits, regular turnover of tenants, internet connection in every bedroom, locks on doors. These are just the minuses that go with the pluses above.
If you're as astonished as I am, read on. Students score highly on a number of different measures. First, they are least likely to miss a rental payment. Seventy-one per cent of landlords with housing benefit tenants have experienced rent arrears over the past year; the comparable figure for landlords who let to blue collar workers is 59%; for landlords of students it is just 38%.
Secondly, and perhaps less surprisingly given the regularity with which the academic year comes round, student landlords also experience the lowest incidence of empty properties. Less than 30% have had vacant properties during the summer months. This is way down on the figures for those who let to families (40%) and older couples (49%).
I may have saved the best 'til last. Renting to students can be very profitable for landlords. Student tenants offer one of the highest rental yields: 6.7% compared with a UK average of 6.1%.
As with any opportunity that looks golden, there will, of course, be pitfalls. The biggest challenges probably stem from the nature of the tenants themselves. For many students, going to university is their first experience of independent living. There's an education job to be done here, and it has absolutely nothing to do with university courses.
In addition to an extremely explicit tenancy agreement, you will probably also need to explain their obligations to your student tenants in person. I know of students who genuinely thought they didn't have to pay rent to the new landlord when the house was sold - because they'd signed the tenancy agreement with the previous owner. Yes, well, it's an education case in point.
I think there are also a number of other givens: furniture, above average wear and tear, regular inspection visits, regular turnover of tenants, internet connection in every bedroom, locks on doors. These are just the minuses that go with the pluses above.
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