In the heart of the Bay Area is the prestigious University of California, Berkeley. How can you make your Berkeley rental properties attractive to these students?
We work with students and student housing a lot, thanks to our proximity to the university. Today, we’re providing some strategic insights for tailoring your rental properties to attract and satisfy the student market in Berkeley.
Understanding the Student Renter
Traditionally, the students looking for a rental home have specific criteria in mind. Unlike other types of tenants, there’s a real priority on proximity to campus, affordability, flexible lease terms, and low-maintenance living. Anticipate and cater to these requirements to make your property a sought-after choice within the student community.
Here’s what your student tenants are looking for:
- Location: A short commute or walking distance to campus is highly desirable. Parking can be difficult and even expensive, so if they can get from their home to their campus on foot, by bike, using a scooter, or taking a public bus, that’s going to work out very well for them.
- Affordability: Budget-friendly options are essential. While some of your student tenants are likely to be working even while they pursue their studies, money is usually going to be tight. So, consider offering shared rooms and community rental situations, especially if you are renting out a large home or a space with several bedrooms and bathrooms.
- Flexibility: Academic calendars dictate schedules, and so accommodating different types of lease lengths can be a significant advantage. Offer nine-month lease agreements or provide something that allows your tenants to exit the lease early if they don’t stick around for a summer session.
- Utilities: Including utilities in the rent can simplify the student’s living arrangements. Offering Wi-Fi will be even more attractive to your potential tenants.
Knowing what these tenants are looking for, most owners will make the necessary adjustments to the way they market their homes, structure their lease agreements, and work with their renters.
Rental Management Concerns and Strategies
If you’re not already working with a professional property management company, you might want to consider doing so before you welcome students into your rental properties. There will likely need to be a lot more hands-on management, and if you don’t have the time or the resources for that, it’s better that you leave the tenant relationships and the lease enforcement to a management partner with expertise.
Here are some of the things that are required when renting to students:
- Establishing and Enforcing Strong Lease Agreements
The lease agreement you require your tenants to sign should be specific to the students who are renting your home, and cover some of the most important expectations and responsibilities. For example, you’ll need to include language that prohibits public nuisances. Tenants will need to comply with noise ordinances and legal requirements. You don’t want to assume that because they’re college students they’ll be throwing parties, but you want to protect yourself (and your neighbors) anyway.
You’ll need to collect information on guarantors such as parents so you’ll be able to hold someone accountable if there is damage to the property or rent goes unpaid. Make sure the lease states who is responsible for maintenance and landscaping. You should prohibit graffiti, smoking, illegal activities, and student-specific activities like parties and long overnight guests.
Your lease agreement needs to be tailored to your student tenants, but it still needs to comply with all of California’s strict tenant protections and landlord-tenant laws. Have an attorney or a local property manager review the lease before you use it.
- Be Consistent and Fair, but Hold Tenants Accountable
Usually with students, you’ll have multiple tenants renting out your property. It’s important to make sure all of them understand their role in maintaining the property, paying rent, and following the lease terms.
Remember that many students may be renting a property for the first time. You may have to be specific when you explain how rent is to be paid. You can decide whether you want to collect rent individually from each tenant or if you want them all to pool their funds and make one payment collectively. Make sure they understand how much is owed, when it’s due, and what the consequences will be if it’s paid late. Get their contact information and make sure they have yours. Tell them how to submit maintenance requests and what they aren’t allowed to do.
The things that may seem obvious to your other tenants in other rental properties will not be obvious to your student renters. You want to be helpful and supportive of your residents, but you also need to hold them accountable to the lease and your expectations.
- Responding to Maintenance and Repair Requests
Your student tenants are not likely to require things like stainless steel appliances, granite counters, and hardwood floors. But, they will expect a habitable and clean home where everything is functional. Don’t let deferred maintenance take hold at your property just because it’s occupied by students. Your students may be less likely to report needed maintenance right away, so remind them that you want to hear about any problems immediately. Respond to even minor maintenance requests quickly. This will give you an opportunity to make sure everything inside the property looks good and your tenants are following the lease terms. It will also protect your investment from more expensive problems. Conduct inspections and respond to maintenance needs in a timely manner.
Should You Furnish Student Rentals?
Furnished rentals remove the hassle of moving bulky items and can warrant a higher monthly rent. While we don’t generally recommend furnishing long-term rental properties, you might find that students who are moving into their first place might need furniture. Provide what a dorm would provide, including a bed, desk, and chair. Everything else should come with your tenants.
Marketing Your Student-Friendly Rental Property
With your property tailored to meet student needs, effective marketing can significantly increase your visibility and attract good tenants. Advertise on rental websites that are popular among students. There may be university housing boards, too. You’ll want to mention proximity to campus in your listing. Explain whether utilities are included and if the property is furnished.
Let’s talk about your student tenants. Contact us at California Pacific Realty.
