renting to students?

tucbiscuit

I am thinking of buying a largish house in Liverpool with loads of rentable rooms with the intention of renting it to students, either as a whole house deal, or on a room by room basis to people who don't know each other.

Has anyone had any experience of renting to student? what happens if you can't rent it for a year (ie. no-one wants it? what do you do then, apart from make the mortgage payments out of your own pocket lol.

I would love to hear from anyone with experience of renting to students, thanks.

randomgal

I can't advise on the finance side of things, but you should think of initial costs, ie fire alarm system, fire doors, protected means of escape etc will be required as the dwelling will be a large house in multiple occupation (HMO). If its 3 or more stories with 5 or occupants, you'll also require a licence. Also if it'll be an HMO with 7 or more occupants you'll require planning permission (let this be the first thing you check).

Sorry if you knew all this already but HTH.

clutton_2

renting to students ? - don't

Eyesparky

As pointed out you need to follow all the HMO rules. There are quite a few properties on the market like this in Liverpool at the moment - not sure if this is anything to do with the way the rules are being interpreted by the council or not. It would be a good idea to talk to the council and see what requirements they are working to before you proceed. What area of Liverpool are you looking at?

Eyesparky

In terms of students there should be no problem. For advice in this area speak to Liverpool Student Homes - they have had a programme in place for vetting standards of student houses for a number of years which has been very pragmatic and helpful. It is a shame the Government could not have followed their lead when drafting the HMO regulations. I am sure they will be of help regards the current situation.

jennifernil

My daughter's friend is at Liverpool Uni, her Dad bought a house which she lives in and rents the other rooms to fellow students. They have had trouble getting tenants , and the rent they could ask was not that good. Maybe they did not buy in the correct area.

Eyesparky

Since 1999 there have been an additional 8,000 student single units added in Liverpool by commercial property developers. Personally I always preferred to stay in shared houses when I was at University. The shared houses that are being successfully let are modernised, good facilities and with good transport links. It is a very competitive market but good quality property should let. The HMO legislation does hammer the private landlord but with a bit of hard work this can be overcome. Ultimately it all depends on how cheaply the property can be bought and brought up to standard and the location.