Top University Cities for Student Landlords Revealed
New data reveals several unexpected university cities offer first-class returns to student landlords.
Landlord insurer Alan Boswell ranked university cities based on average student rents, the number of bedrooms in a property and the cost of landlord insurance.
The top ranking goes to Brunel University, Uxbridge, West London.
The score revealed that letting a shared home for Brunel students gave landlords the best return, an average of £3,163 a month from a property with 5.6 bedrooms - almost twice the number of paying rooms than most other universities.
Landlord insurance costs were low, too, averaging £386 a month.
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Top 10 student cities for letting
The runner-up was Edge Hill University, Ormskirk, Lancashire, with a monthly rental income of £3,148, slightly lower than Brunel's.
The firm says the report is to help student landlords find the best place to invest.
The top ten investment hotspots for student landlords are:
Average landlord insurance cost
Edge Hill University
University of Gloucestershire
University of Oxford
University College Birmingham
University of Bedfordshire
Buckinghamshire New University
High Wycombe, Buckinghamshire
The University of Nottingham
Nottingham Trent University
Source: Alan Boswell Landlord Insurance
No rooms to spare in Bradford
Separate research highlights Bradford, Yorkshire, as somewhere student landlord investors should consider.
Integritas Property Group (IPG) points out that the University of Bradford has enrolled 42,000 students - with around one in three coming to the city to study from overseas.
But the university only has some 1,000 rooms in halls plus 34 four-storey shared houses, which house a fraction of the number of students needing accommodation.
IPG says Bradford and other university cities have a huge housing gap that needs filling with quality accommodation.
CEO Mitchell Walsh said: “Investing in the property market in Bradford right now is a smart decision as the rental yield is currently at an impressive 8.25 per cent, some three per cent higher than the national average.”
Housing problems for student renters
Meanwhile, a recent report from rental guarantee firm Housing Hard warned students in many cities faced ‘unprecedented problems’ renting a home close to their university as the new term started this autumn.
Chief Operating Officer Graham Hayward explained that increasing student numbers and a lack of homes to rent meant they lived miles from campus, which added time and travel costs to their already tight budgets.
Cities hit by the housing shortage include London, Manchester and Bristol.
Hayward fears accommodation problems could force international students to consider university in other countries, while UK students could defer their courses.
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View Related Handbook Page
Investing in a private rented property can be achieved in a variety of ways. Sometimes landlords inherit a property that they then turn over to renting. Sometimes owners of properties become unintentional landlords because they are unable or unwilling to sell a property at the value the market currently dictates.