You need to know your market on this. The college rentals I have are .3 and .5 miles from campus and are clearly in the university district area. 3 miles out seems far, but everywhere is different.
You need to know what the college rental “season” is. I list properties in October for the next August move in. These places lease 10 months in advance. You also need to know what the typical lease terms are for your competition. Are they 1 year leases? Do they rent by the semester with summers off? I’ve seen it many different ways. If it’s a big university, they probably have an off campus housing department for students. It might be worthwhile giving them a call.
5 bedroom places will attract younger college groups. By the time they hit JR/SR or grad school, they look for 2-3 br places.
Your vacancy estimate seem high. I typically only have 1 month vacancies if I “pay” to get the kids out for major capital expenditures (I’m in the middle of 2 of them now like that). Normal years, I may prorate 4-5 days off of a month.
Maintenance costs are higher with college rentals. find a good local handyman type that can handle minor fixes, like a garbage disposal or clogged toilet.
If your estimated numbers are accurate for rent rates and deferred maintenance, then this looks solid. But deferred maintenance is an issue for college rentals. Make sure you do your due diligence!
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