Is student housing still a good investment strategy in 2024?

real estateinvestingstudent housing
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Kamen_R
Joined:
05.08.2020
Posts: 351
Topic Starter
16.01.2025 08:57
I've been looking into diversifying my portfolio and have seen a lot of listings for purpose-built student accommodation near local universities. On paper, the yields look significantly higher than standard residential rentals, but I'm worried about the high tenant turnover and potential for property damage. Has anyone here actually managed student properties long-term, or is the headache of constant management not worth the extra cash flow? I'm curious if the market is becoming oversaturated or if there's still a real gap for investors.
14 replies in this topic
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bai_ivan
Joined:
29.07.2023
Posts: 804
03.02.2025 10:21
The yields look great on paper, but you really have to account for the maintenance costs. Students aren't exactly known for treating carpets and walls with respect.
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SamoPitam
Joined:
05.07.2022
Posts: 1639
17.03.2025 14:43
In reply to a previous post
I’ve managed a 4-bedroom student unit for five years. The turnover is a nightmare, but if you have a solid inventory system and a reliable cleaner, it’s manageable. The rent premiums make up for the wear and tear.
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Bobi_J
Joined:
13.01.2022
Posts: 297
21.04.2025 10:57
Honestly, 2024 is tricky. With interest rates where they are, the cash flow isn't as 'extra' as it used to be. Make sure you run your numbers with a higher vacancy buffer.
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star_vulk
Joined:
18.09.2020
Posts: 527
06.05.2025 23:02
In reply to a previous post
Totally agree with the previous poster. Don't forget to factor in the void periods over the summer. Unless you can secure year-round leases, you're looking at three months of zero income.
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mati_123
Joined:
25.04.2023
Posts: 548
19.05.2025 07:51
Is it oversaturated? In my city, the big corporate developers are building massive blocks with gyms and cinemas, which makes it really hard for private landlords to compete.
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Bg_Pechba
Joined:
24.04.2022
Posts: 721
06.06.2025 09:07
In reply to a previous post
Exactly what @user5 said. Those purpose-built complexes are killing the market for older, shared houses. Unless your property is literally across the street from campus, it's a tough sell.
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Misho_B
Joined:
19.11.2021
Posts: 2223
06.08.2025 07:03
I sold my student portfolio last year. I just got tired of the constant late-night calls about broken boilers or internet issues. It's a job, not a passive investment.
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Selekcioner
Joined:
05.08.2024
Posts: 1100
25.11.2025 04:07
In reply to a previous post
I've had the opposite experience. I use a professional management agency. Yes, they take 12%, but I haven't stepped foot in the property in three years. It’s definitely worth the peace of mind.
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Ekspert_11
Joined:
22.05.2024
Posts: 1308
06.12.2025 11:13
Has anyone considered international student demand? In some areas, that's the only thing keeping the market afloat.
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Maks_D
Joined:
13.10.2023
Posts: 1689
17.12.2025 15:37
In reply to a previous post
Good point. I focus on post-grad students. They tend to be quieter, pay on time, and actually look after the place. Much better than undergrads.
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Fari_P
Joined:
18.10.2023
Posts: 1900
07.01.2026 16:23
If you're looking for 'passive', stay away from student housing. It's high-touch management or nothing.
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monika_p
Joined:
02.08.2020
Posts: 2289
10.01.2026 17:33
In reply to a previous post
I second that, @user11. If you aren't prepared to be a landlord/janitor/mediator, look into REITs instead.
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Brayan_Z
Joined:
22.12.2024
Posts: 858
16.03.2026 16:16
It really depends on the university. Is it a growing institution or one that's struggling with enrollment? Check the university's five-year plan before buying.
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Krasen_K
Joined:
03.06.2025
Posts: 1718
18.03.2026 17:59
In reply to a previous post
Good advice above. I'd add: check the local council regulations on HMOs. Licensing requirements are getting stricter every year and can eat into your profit margins.

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