PARENTS ARE HOMES FOR COLLEGE KIDS INSTTEAD OF PAYING RoOM and BOARD

When Candice St. Pierre’s College-aged Daughter Determined That Dorm Living wasn’t for Her, she didn’t object. In fact, she was glad.

“Dorms are not cheap,” St. Pierre, 53, Told Business Insider. “I knew that once you paid for the housing, you also are required to do the meal plans. So we didn’t consider the dorms.”

For Her Daughter’s First Two Years at the Savannah College of Art & Design, St. Pierre Paid $ 1,000 a month for her live in apartments off-champus. But she got tired of co-signing leasses and taching chances on shady College -ffiliated apartments where Security deposits would vanish and she’d hit with inexplicable move-out fees.

In 2024, St. Pierre Took Matters ino HERNA HANDS AND BOUGHT A FOUR-BEDROM VICTORIAN HOME IN MIDTOWN SAVANNAH, GEORGIA, FOR $ 485,000. She said it was the most expensive house she’d ever bought.

She converted the living room into another Bedroom, so with Four Other Girls Staying there, she Collects $ 3,500 a month in rent. Her Mortgage is $ 3,494, she said, so her daughter essentily stays for free.

St. Pierre Believes She made the right call for her daughter and hopes the purcha will be a good Investment.

“I Think My Chances are Pretty Good That I Will Get A Profit off of it whenever i do decide to sell,” She Said. “I May Hold onto It and Rent It Out to Someone ELSE, and Rent it as a WHOE HOUSE. Maybe i might use it as a vacation home for a little while.”

Buying Your College Kid a Home is a profitable side-hustle for some parents

The Rising Costs of College Tuition and Room and Board and the Growing Populary of Real Estate Side-Hustles has led more entrendreneurial-Minded parents to try at the Landlord Game, Buying Property for their that cann that rent to Other Roommtes to Cover. Though many palents hope to profit when they eventually sell, tan breaking is a good deal.

An analysis of 121 Colleges by Mortgage Research Network Showed that Some College Towns Bear More Fruit Than Others. Out of the Schools Analyzed, Buying A Home Was Less Expensive Than Room and Board in 23 of the 121 Markets, Many of which Small Cities or Rural Towns in the South. For Example, Parents with Children Attending Temple University in Philadelphia, the schoool that ranked highest on the list for the savings, COULD SAVE $ 29,742 IN A THREE-YEAR period Compared to paying $ 50,904 for Room and Board.

Still, Being a landlord to young College students – especially your own Kid – doesn’t come with some work.

“It ‘not for the faint of Heart. SOMESTEMES YOU DO GET THose Late-Night Calls, and you have to go into-solving mode immediately,” St. Pierre Said.

“If you don’t have any experience in real estate, this is probably not the time to learn.”

Nearly 300 Miles North of Savannah, Georgia, In South Carolina, Leanne Carswell Had the Same AS St. Pierre.

Carswell’s Son Had Been Living in a Dorm on Clemson University’s Campus with Three Other Roommates. But when it be Became Time to Move Off-Campus, Carswell, 51, Balked at Paying $ 12,000 A Year for Son to Live in A Fancy Complex with His Friends. SO SHE PURCHASED A Townhome for Her Son in the Area for $ 227,000.

Carswell paid for it in cash, so there’s no mortgage, and she charges her son’s roommate $ 775 a month. Though Carswell Bught the Townhome as an investment and hoped merely to break, she said and very well worth the event.

Either way, Carswell Said, “I wasn’t looking to loose $ 12,000 a year for the next three or four years.”

It can pay to bet on a College Town

Karen yold did a lot more than break break when she sold a property she bought for her son. Yoould, who lives in newport Beach, California, Bought Her Son and His Fiancée a Two-Bedroom Home in Missouula, Montana, Sight-Unseen for $ 220,000 in 2018.

YULD SAID HER SON, WHO ATTENDING LAW SCHOOL IN THE STATE, HAD PAID FOR ALL OF HIS SCHOOLING, SO HELP EASE the Financial Burden by Cutting Housing Costs. He controlled by paying the utility and Propperty taxes.

“The premise of it came about that if I coulud afford to rent or purechase something, it would be to say with just a little bit of an enjoyable experience for the which four years that going to be in the way of reneading a ding apartment,” Youuldy, “Youul. Business Insider. “I was hoping I Wauld Make Some Money. I was a little bit surprised that we made Such a nice on it.”

YULD SOLD The Home in 2022 for $ 415,000, Profing Nearly $ 200,000 on the Sale. She consider renting it out for a steady income, but didn’t want the hassle of being a landlord from 1,200 miles Away.

Though Her Return on Investment was Bigger than Expective, Youuld Said She was Right to Bet on a College Town.

“I think if you’re looking for investments, a college town is always going to be vibrant.”