Many parents, (like me) will soon have a son or daughter going away to college or university. If they are like me, what’s likely weighing heavily on their minds is the expenses this will involve. There’s nothing we can do about the high cost of tuition, books or travel. But there’s one major expense that we may be able to turn to an advantage. Rather than paying rent at a student residence for three or four years, think about buying a property and turning an expense into a income stream.
Buying a property near Conestoga College, University of Waterloo or Wilfrid Laurier means your son or daughter living there rent-free while renting rooms to other students. With interest rates still at historic lows, it’s a great time to invest in real estate. If you buy smart, you may be able to recover all or most of the cost of your child’s college housing expense. You might even be able to generate enough positive revenue to offset some of the other expenses of a university education. Further to that, house prices in Kitchener Waterloo are still rising. In the three or four years your child is in university, you could even make a profit on the equity you have built up in the property.
Think about it.
I’ve lived in Westmount/Uptown Waterloo amongst “student family” homes for the past ten years. The homes are better cared for than straight student rentals owned by absentee landlords. The kids take care of the room rentals, learn responsibility about keeping things clean and tidy, like taking out the garbage on garbage day, how to shovel the driveway…
I’ve noticed too that after four years, the student homes do not normally go back on the market. They tend to stay in the family perhaps giving the kids a place to continue living when they get their first real jobs.
If you’re thinking about buying a home for your son or daughter attending a Kitchener Waterloo school, please contact me. I’ve helped lots of people get the right home for their kids. Maybe its already here.
UPDATE: Parents read this post about costs and and other common questions.
Update: New Rental Licensing laws in effect now.