Parents Seek Real Estate in College Towns
Real estate is an investment, and parents are certainly investing.
A trend seems to be growing within the real estate industry – parents are seeking homes in their kid’s college towns while they complete their degree.
Why is this taking place, you might ask?
Some parents are asking the tough questions: why are universities charging an arm and a leg for room and board? Instead of paying a chunk of around $14,000 a year for their kid’s dorm life, they can instead invest that into purchasing a home in the area and turning it around once their child has graduated.
The possibility of renting out other rooms while their kid is studying, and/or selling the home after their child has graduated, seems to be flashing dollar signs in many parents’ eyes.
Obviously, there are drawbacks – you have to consider whether or not you’re comfortable with college kids taking care of the property properly, and you have to be open to being responsible if any fixture needs repairing.
Talk with your financial advisor to learn more about whether this might be a good option for you. Room and board, or buying a home – either has to fit appropriately into your finance plan, and a financial advisor will accurately guide you in the right direction.
For more real estate news and insights, check out Pacific Alliance Title’s Blog.