Renting residential properties to students can be a good way to invest in real estate. It is a different kind of market which needs to be understood. There are two broad categories of issues (both of which I have written about):
1. Zoning and other municipal by-laws which may apply to student rentals;
2. Understanding students, the student rental market and how to be a landlord to students.
The above tweet references a blog post that provides interesting commentary about community politics and student rentals.
The post includes:
A little over 20 years ago, we moved away from an area near the university. The area had become mostly a student ghetto, but the students were far less of a problem than the snotty local homeowners up the street who were doing all they could to fight the transition of the homes from single-family residences to student housing. Here is an editorial I wrote then.
You can read the complete post here.
The message is simple but forgotten.
If you are investing in real estate for the purpose of renting to students ask yourself:
How will house rented to students “fit into the community”?
As you know, the selection of good tenants, is vital to your success as a landlord and real estate investor. Tenant turnover is the largest cost of being a landlord. Ontario’s rental market is highly regulated and Ontario tenant’s have many rights. If you select your tenants carefully you will avoid having to take steps to evict a tenant. But before actually commencing the eviction process, we strongly suggest this recipe for how to deal with a difficult tenant.
Since tenant selection is the key, we recommend our: “10 Principles: How to find and then select a tenant for your residential property“.
I recently received an email from somebody that included the following question:
Hi. I am wondering if you may have some insight regarding a condo situation we have in London. We have purchased a two bedroom condo and the condos in the building are called “single family dwelling”.
I have heard from some people that this means the people in the condo must be related to each other however, I am aware of lots of people in the building who are good friends and are not related to each other living together.
We were planning to find a paying roommate for my 20 year old son but we are concerned about what the definition of “single family dwelling” is.
To me, outside of living with your spouse or common-law partner, many people live with friends in our society. Do you know if such a rule is enforceable? Do you have any suggestions as to where I should go to figure this out? I would hate to have to move out of the building due to this rule.
I predict that this is going to become a more common question.
As goes the real estate investment market, so goes the need for property managers.
Becoming an Ontario Landlord – The Course.
If you either:
1. Want to consider managing your own properties; or
2. Want to learn more about what a residential property manager in Toronto can do for you
then you would this course to be of interest.
An interesting article by Mark Weisleder in the Toronto Star concludes with:
Dr. Eric Hoskins (MPP for Toronto St. Pauls riding) has compiled a very decent guide to the landlord tenant relationship in Ontario. It covers a number of topics and is reasonably extensive. It is referenced in the above tweet. In addition, here is the PDF version:
The guide contains a good summary of the Ontario Residential Tenancies Act confirming that the grounds for evicting a tenant in Ontario are found in sections 48 – 68 and include:
The above tweet references an article with a good deal of wisdom.
The above tweet references an interesting article by Mark Weisleder. The article begins with:
I have been intending to write about this topic for some time. Let me begin with my conclusion.
Renting to students in Ontario can be an excellent way to manage your residential property investment.
It is a little different. It takes a bit of learning. But, it can be very successful!
Okay, now let me explain this a bit more. The first step is to “know your customer”.