US Student Housing is Already Booming and Keeps Growing

Student Housing is an interesting area of the market, especially in the United States. We took a look at a few reasons why it could make for an interesting investment opportunity.

Demand is Growing

The United States student housing has long been a favourite of investors. Over the remainder of this decade, the National Multifamily Housing Council (NMHC) projects that enrolment in United States post-secondary schools will increase by 1.1% per year. This means demand for off campus housing could continue to increase as well. The NMHC also notes that Post‐baccalaureate enrolment may increase more than expected given employment demand for highly educated persons and the large millennial population that is now graduate‐school aged.

The US Housing Market is Relatively Stable

As enrolment continues to grow as noted above, demand for housing, especially in later years, could remain high. CBRE notes that even at the height of the pandemic, occupancy remained at 88%. It has already shows signs of returning to its previous rates of 92% since late 2021.

Ingredients for Higher Yield

Given that demand remains high, occupancy remains high, and students tend to have better rent payment rates (CBRE), investing in US student housing could provide an opportunity for higher yields than other properties, depending on any number of factors and conditions.

Let us know in the comments what you think about US student housing opportunities!

DISCLAIMER: This information is for educational and informational purposes only and should not be considered as investment advice. Any investment decision should be made based on your own research and analysis. You should consult with a financial advisor or other professional to determine what may be best for your individual needs and risk tolerance. We encourage you to do your own research before making any investment decisions. Investing involves risks, including possible loss of principal.

2 thoughts on “US Student Housing is Already Booming and Keeps Growing

  1. AJ says:

    Student housing is a growing necessity. UBC is a prime example of need. UBC Kelowna is a growing Campus and needs so much more. RE entrepreneurs have built huge residential building on the periphery of the Campus lots. They are full of students who don’t want the distractions of Campus Housing rules and the nonsense that comes with that. Canadian Campus investments probably hold as good an opportunity as the US. Besides; who needs the pain inflicted on your Income Taxes that US investments create. AJ

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