Make Money in Student Housing

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photo credit: blakespot

Yes, the days of the quick flip are probably gone for quite a while, but there is still money to be had in the real estate market. Rentals are gaining momentum again, but if you want a sure bet, go for the student market.

During this current real estate cycle the student market has head steady and in most major college and university towns it’s actually performing quite well. It’s doing so well, in fact, that Freddie Mac has designed it’s own way to cash in. The Freddie Mac Student Housing Mortgage is designed to deal with larger properties as the smallest loan you can take out is for $5 million.

There are restrictions on where your building resides and requirements regarding tenant makeup. Basically, you had better be near a college or university and have a large number of students renting. They also are favoring places that are already designated student housing.

The loan terms generally run from five to ten years and carry an interest rate that is in the mid six percent range. If you’re looking to tap into the real estate market and make the safest and wisest choice possible, then explore the options that student housing has to offer and take a look at the new Freddie Mac Student Housing Mortgage.

Tags: Housing Market | Loans | Tenants | real estate

This entry was posted on Monday, July 21st, 2008 at 3:30 am and is filed under Investment Property. You can follow any responses to this entry through the RSS 2.0 feed. Both comments and pings are currently closed.