Hi...Just wanted to get thoughts on investments which are purley for university accomodation.
I have seen a few suburbs which have universities, they have flats for sale where each room has an ensuite and theres communal areas for students. Only students can rent these. There are high management & strata fees.
After all costs it could make around $400pw, which is an awesome yield, but just wondering what are the downsides? The place probably wouldnt see much cap growth, but if its making you 20K per year surely thats a good investment?? Ok even at half tennancy it would make you 10K p.a still good yield.
There must be a catch here that I cant see, just wondering if anyone out there knows them? or has experienced them?
I have seen a few suburbs which have universities, they have flats for sale where each room has an ensuite and theres communal areas for students. Only students can rent these. There are high management & strata fees.
After all costs it could make around $400pw, which is an awesome yield, but just wondering what are the downsides? The place probably wouldnt see much cap growth, but if its making you 20K per year surely thats a good investment?? Ok even at half tennancy it would make you 10K p.a still good yield.
There must be a catch here that I cant see, just wondering if anyone out there knows them? or has experienced them?