5 Best College Towns for Real Estate Investors
BOSTON ( MainStreet) -- Rental properties in college towns can offer great returns to real estate investors and parents of university students alike, a Realtor.com study finds.
"College towns have a natural cycle of tenant flow," Realtor.com's Jennifer DuBois says. "You know
DuBois says parents who face big tuition bills might find buying a rental that their child can live in while at school will take some sting out of high college costs.
"Owning a condo that your child can live in while at school can make a college education more affordable, depending on how long you hold it and how much home prices appreciate," she says. "It certainly won't pay for an entire college education, but it's a good way to at least get some money back."To help investors and parents find the best returns on college-area real estate, Realtor.com recently analyzed market conditions in cities hosting the top 25 national universities in U.S. News & World Report's annual school rankings. The five cities below offer the highest rents relative to what you'd pay each month on a mortgage for a typical property in each locale. All rental prices refer to average asking rents on Rentbits.com as of July, while monthly mortgage bills reflect what you'd pay for median-priced home advertised on Realtor.com for each city during the same period. (The study assumes you'd take out a 30-year-fixed mortgage with 20% down and today's average interest rate of about 3.6% interest rate.)
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV