Experiences with Students?

Hi Sharon

Just in the process of securing the same thing except this one is 7 bedrooms all with ensuites and is brand new and be designs specically for students.

The complex does not provide computers and by all accounts the students do not want this as they normally always have there own.

What they want is a rental that covers everything so that they know they have to budget so much each week for there rent. The property I am working on at the moment covers rent, power and gas.

It seems the days have gone where students will except rough accommation as since talking with the student letting office at Canterbury University in Christchurch the rough properties are still waiting to be let after school has started.

Any questions feel free to ask.

Trish

I am doing it too with a 5 bedroom place near a major uni.

So far it has been a very positive experience with few problems that weren’t easily dealt with. A little more hands on than normal rentals but you can have them professionally managed if you so choose.

I would consider another one.

Simon Macks
Finance Broker
[email protected]
0425 228 985

Comments may not be relevant to individual circumstances. If you intend making any investment, financial or taxation decision you should consult a professional adviser.

Hi Sharon
Make up a flyer highlighting all the positives of your accommodation i.e., how close to all the ameneties like bus stops, train stops, supermarkets, to uni etc., what have you included in the rent along with your contactdetails and give it to the student accommodation services at the uni and they will do the rest. Atleast that’s what they did to me.
May be timing wise it is too late right now because most of the students would have settled, but you could get the place rent it out for about 8 months and come dec, be ready with it. Uni’s normally advertise in their student acc.register around 15 Dec. when the early round of offers go out, you would be getting enquiries.
Also to maximise your return, see if you can convert the 4br to 5br house. With minimum expense you could turn it into a +CF.
We definitely are going to continue to invest in this market. Key is the distance to the uni and the ameneties availability.
Good luck
Padma

Hi Sharon,
I can highly recommend Japanese students to care for the environment in which they live!!! I have had experience with about 15 Japanese students who all (but 1) were clean, tidy and punctual with the rent and tying up bills at the end of the tenancy. (This is always the tricky bit as some leave in the middle of bills)
I tried different things to find the best way to do it. The best thing was to incorporate bills and rent and cleaning in the price which all worked like a charm!
You may want to consider a direct debit into your account for stress-free management.

It’s a fantastic idea – rock’n’roll!
feast

There are a number of properties on the market in my area that are 4-7 bedroom properties that vendors are trying to sell as “ideal for student accommodation”. We are close to major uni & transport is good so no probs there.

Vendors say you could rent each room for $100/wk and thus have income of $400-$700 per week. But does it actually work this way? For example, if you were student 5,6 or 7 (in the 7 bedroom example) would you be that keen to move in with 4 other people? Does any “in-fighting” in the group of 7 lead to people moving out more frequently? If no studets are available, would you need to consider the broader rental market ($250-$300 per week in my area).

Also, if you had a property you could rent for $400-$700/wk, why would anyone sell it?

Does anyone have more long-term experience with “multiple” students (4 or more) renting in the one property?

How many students would be likely share one bathroom. Is an ensuite the norm for each. Does anyone ever get building permits to convert class 1a to a class 1b.Anyone ever had hassles from Council Town Planning Department. Comments appreciated.

I have 5 girls sharing one bathroom and separate toilet as well. No problems. Have 3 in the other house sharing a Bathroom and a separate toilet.
Master bedroom tenant pays a little bit extra because of the ensuite.
I didnot even bother enquiring with the council. What is class1A and class 1B?
Padma

Hi guys,
To find out the councils requirements for prescribed accomodation, which in my area was 5 or more people in a house make an anonymous inquiry, use an accountant because there is a good chance you wont like the answer which may include health inspectors and other requirements.

Also don’t ask your insurer if they are happy to cover a boarding house situation with standard building insurance, because they wont be. Pray it doesn’t catch on fire.

Try not to put in the student or students that no-one wants to live with. It’s easy to scare off good tenants and hard to remove bad ones. You get the situation I had where I couldn’t fill the last few rooms.

And don’t buy in an area too far away, as it is very hands on to initially furnish and find good students.

And double check what the uni on-campus accomodation charge per week. I plucked $105pw out of the air and got burnt when I found out the uni cost a lot less.

And Don’t underestimate how much electricity and gas students will use after you check the REIV boarding room requirements that state you must include utilities in the rent. Over $1200 per property per quarter for 3 properties nearly killed me last year.

And be twice as wary of the many dangers if you plan on doing multiple properties this way.

rain, rain, rain on this parade. I got burnt a lot last year and just wan’t anyone jumping in to be aware of what you are in for.

Most important, remember students don’t have a lot of money and campus accomodation officers will quickly end any chance of getting students in if they get a sniff that you may be out to rip off poor students. Do 9 month leases, be flexible for the kiddies.

Good luck.

Lifexperience

Hi Shataz,

Your on the money there with insurance costs and other high fixed cost. Ho would the student pay the utilities or would you cover that with extra rent etc.?
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Good Luck