Letting to Students
Student lets can offer opportunities for landlords to maximise rental income, especially for landlords with properties within walking distance of college and university campuses or in areas with good transport links.
The regulations in terms of letting to students are the same as for all other types of residential property leasing, but we advise landlords to consider a number of particular aspects before entering the market.
Why should I let to students?
Letting to students is generally highly profitable.
Some of the benefits include high demand, longer rental periods (typically a minimum of 12 months) and high yields.
Ideal property size.
3 bedrooms (minimum) with generous living spaces (kitchen/dining and lounge) particularly appeal to students. More than one toilet or bathroom and a garden are additional selling points. If you let a property to a group of students who are sharing (i.e. not a family), you must ensure you comply with the rules for HMOs (Houses in Multiple Occupation).
Furnished or unfurnished?
Students generally expect properties to be fully furnished and landlords should consider providing a desk and chair for each room, a vacuum cleaner, a lawn mower and bins in addition to the usual furnishings.
Factor in higher maintenance charges.
Wear and tear is typically an issue in properties let to students, meaning a little more time and cost at the end of a tenancy to get the property ready to let again.
Peak period for marketing.
Students usually start looking for property in January with leases covering the following academic year (August/September to July/August).
Properties should be marketed using the usual channels, with particular focus on online listings. Your property should be included on the college or university’s list of approved rentals.
And finally, ensure your income is protected.
RentLocally offers a comprehensive referencing service for all tenants, but for students we generally seek a guarantor. This is usually a parent or guardian who is legally responsible for the rent if the student fails to pay. Further details about RentLocally’s guarantor referencing service are available on request. RentLocally also advises all landlords, whether letting to students or other types of tenants, to consider taking out specific rent guarantee insurance to provide cover in the event of unpaid rent.