What makes student property a less stressful investment?

What makes student property a less stressful investment?

Making an investment choice related to student property is not only a smart business option, but it can also spare you from a lot of stress. Numerous surveys and reports have confirmed that the number of students in the last decade is growing every year and there are also many reports that many students can’t find appropriate accommodation. This is the reason why there are so many ongoing purpose-built student accommodation (PBSA) projects all over the UK. PBSA is different than a standard buy-to-let property and when it comes to investing, it is less stressful and often delivers higher returns.

There are many cases where buy-to-let properties have brought more hassle than they are worth to property owners. This is especially true for inexperienced investors because they usually spend more money on renovations than necessary, often invest in the wrong locations and they don’t put enough research in to who they are targeting. As a result, their properties can end up vacant for a long time and not bring in the rent they need to cover the mortgage they have taken out. On the other hand, student accommodation is already fitted out and handled by a management company so you can’t make the same mistakes that you might make with a traditional buy-to-let investment. Of course, investing in the right location is very important and choosing a student property that is close to the campus is a must if you want it to attract interest.

Other good reasons to invest in student accommodation and what makes it less stressful include:

Reliable payment

Student rents are frequently paid by the parents of students. Block payments are the typical form of payment for this type of rent which means that investors don’t have to think about this every month.

Maintenance

PBSA properties are usually handled by management companies that take care of all maintenance and issues with tenants.

Vacant periods

To reiterate, there is a high demand for student accommodation which means that vacant periods are very rare.

If you are a first-time property investor and you want to avoid stressful investments, then PBSA might be just what you’re looking for. Contact us now for more information.