Living In Oshawa - Investing In Student Rentals
Introduction To Student Rentals In Oshawa Ontario
This video has to do with student rentals and will hopefully explain to you a little bit about things to consider when looking to get into the student rentals market. They are very lucrative, but can be more hands on at times. Student rentals are near and dear to my heart as my first investment property here in Oshawa was a student rental. It was located very close to OTU (Formerly UOIT) and Durham College Campus. The end of the video has 2 exclusive listings that are not even on the MLS yet. Both have the potential to cashflow VERY Positive......
Which Areas Of Oshawa To Invest In?
Oshawa has 2 main hubs that student would need accomodations in. The first is the north end close to the main campus located at Simcoe St. and Conlin. The second is the downtown campus located around Simcoe St. and King St. It really comes down to wheather you want to cater to students with no vehicle that want to walk to school. If you are looking for the student that will either drive or bus to school, then it doesn't matter if you invest closer to the university. I found there were a lot of students who didn't mind the 30-45 minute bus ride to school. The monthly rents were a little lower, but you ended up buying for a bit of a lower price on top of the fact you didn't have to go through the yearly licencing / inspections.
City Of Oshawa - Licenced Area
If you are looking at investing in the north end "BUYER BEWARE" of the licencing area View Map Here. If you decide you want to purchse an investment property within that area, be aware the application fee is $75 and the Licence Fee is $500. The Inspections required are included in the licencing fee. Every year you are to renew your licence and that comes wtih a $360 fee aslong as you are renewing at least 60 days before. After the 60 days, the fee goes back to $500.
Providing Furnished Vs. Unfurnished Rentals
Deciding whether or not you want to provide all the furniture is more of a personal preference. There are alot of pros to this including: Less wear and tear on the property from move in or move outs, lower risk of bed bugs, allows you to cater to the Internation Student (Oshawa has lots) or those coming from far away who don't want to bring furniture and allows you to charge a little more. Some of the cons are: Initial up front cost (Could cost around $5,000 if buying new (Much less if buying used) and the fact that some students have all their own furniture which eliminates them as a potential tenant. When we had the student rentals, we would replace the mattress pads every time a student moved out (Bought from walmart for around $20 a peice). A quick TIp: Provide single mattresses to help prevent a lof of "OVER NIGHT GUESTS".
Including Utilities or Excluding Utilities
This is an easy one, INCLUDE Utilities. Students don't want to worry about utilities, its like pulling teeth to get students to get tenant insurance. Students want an "All Inclusive" rent. Your probably even going to have to include internet. Reach out if you need an affordable Internet plan, i could point you in the right direction for this. Although i only sell houses and not internet, id be happy to help.
Exclusive Listings - NOT On The MLS
As a thank you for watching the video, i wanted to share 2 exclusive listings with you that are not on the MLS and will cashflow very well. They are both very close to each other, OUTSIDE the licencing area and have 5 bedrooms each. On a simple $500 a room monthly rent your looking at $2,500 per month In rent. Possibility of HOUSE HACKING and adding an additional room at each house allowing you to hit $3,000 per month in rental revenue. Both Properties are listed at: $450,000
Thank You For Watching / Reading
I absolutly love sharing my knowledge and experience in the Student rental market. Our student rentals were very successful for us. We had a very low vacantcy rate and honestly cannot even remember missing a month in rent. That means, we never had an empty room. The only time the rooms were empty was when we were switching tenants.