Reasons to Rent Your Property to Students
PUBLISHED 11 DEC 2020
Take Your Investment Back to Varsity: Reasons to Rent Your Property to Students
Is your Pretoria property in a student hotspot? Then why not take your property back to varsity? It is almost 2021, and this means that many students throughout South Africa will venture off to the Jacaranda city to spend the next three to seven years completing their degrees, bachelors, honours, or masters. However, there is one problem, and it is a big one. Demand for student housing exceeds the supply of on-campus accommodation in Pretoria.
Although Pretoria is home to some top education institutions in the world, the city struggles with a student accommodation shortage, leaving many with no choice but to rent housing often in far and dangerous areas. With so many students flocking to Pretoria’s top educational institutions, Pretoria property owners have an attractive proposition. If you have an investment property in Pretoria or you are thinking of purchasing one, here are reasons to rent to students.
Steady Rental Income with High Tenant Demand
A common fear of investors is the ability to attract long-term tenants. However, because hundreds of students lose out on the on-campus lotto, there is a high demand for student accommodation, which makes it easy to fill empty properties. Unlike Airbnb that cannot guarantee weekday rentals, if your property is close to campus and has excellent security, your investment will never be without tenants, as there are always new students in search of accommodation each year. Further, parents often pay the deposit and monthly rent, which provides excellent security to landlords.
House Rentals Maximise Earning Potential
As the de facto capital city of South Africa, home to grand and contemporary homes and apartments, Pretoria’s top suburbs are not just hotspots for families. These areas are rapidly expanding with new trendy eateries, craft beer bars, and malls and gyms, making them safe and convenient to study, sleep, and find part-time work. Adding to that, students like to share, and houses in these hotspots offer four to five bedrooms with en-suites, swimming pools, and open-plan living areas, giving landlords more income.
Students Care Less About Curb Appeal and More About Affordability and Security
If you are worried that you are going to get stuck with a bunch of binge drinkers or demanding student tenants that call you at all hours to repair, fix, paint, prune, or mow, do not be. Students are quite reliable tenants and can be easy-going and respectful. Students mostly focus on their studies and social lives and want to live in a clean and well-maintained house with an excellent security system and fast Internet connection.
With Pretoria and Johannesburg in a student accommodation crisis, many new and mature scholars will scour Pretoria’s property market within the next month to secure their 2021 residence. If your flat or house is desirable to the student market, you are in the prime market for well-paying renters. Most graduate degrees last at least three to four years, and with the demand for accommodation outstripping the supply, your investment property will be secure.
However, because student renters may require a little more guidance than your typical professional executive or family with kids, landlords need to screen all potential tenants and keep their eye on their property. Often, this is time-consuming and is so much easier when a local property agent and manager oversees the entire rental relationship – from screening, deposits and monthly rental transactions, and setting fair market rent to repairs and maintenance work. A sales and rental agent will do all the work for you while you sit back and watch your investment grow. To learn more, chat with our team in Pretoria.