According to the UK Council for International Student Affairs (UKCISA), about 436,585 students come to the United Kingdom to study. Among all nationalities, Chinese students outnumber the rest at 89,540 followed by Indian students at 18,320.
The bottom line is that more and more students are coming to the UK to study but the same expansion in collegiate offerings do not extend to student housings. The booming number of international students requiring rentals now creates a demand. And this is why investing in student accommodation in the UK could be the next big investment opportunity for you, and investment brokerage could cover all the bases.
Spotting Investment Opportunities
There are many ways to spot a good investment opportunity in this new realm. First, look for an expansion in post-secondary institutions, especially one with a significant growth in enrolments per year. Second, the investment should be near communities that offer food and other lifestyle establishments. Location is everything. The investments don’t necessarily have to be stone’s throw away from the universities or colleges. They could be near train stations or other transport hubs to major cities.
Students Make Better Tenants
The reason for this is because their parents are the ones paying for their rent, not them. Think about it, as an investor or landlord, you are dealing directly with people who have the money to send their children to school and lodging is a part of their educational expenses. Therefore, it’s a myth that students make bad tenants because the rent doesn’t really come from them. It provides a consistent cash flow for you.
The disadvantage of renting to students is that college parties are the equation. Of course, screening tenants is very important but every now and then, parties are due to take place. As long as you set some house rules and respect their space, student tenants are easy to work with if you treat them as adults and business partners.
If you are looking for the next big investment in the UK, consider investing in student accommodations and uncap its great potential.