The ever increasing need for good student housing has greatly contributed to the growing property market in Maidstone. Business professionals, families and students alike find Maidstone extremely convenient due to its location and proximity to London (32 miles away). It is nice being able to get to the capital when you need to and experiencing it without being forced to live right in the middle of the busy lifestyle.
The biggest sector boosting this rapid growth in the property market is the education industry. Maidstone has a lot to offer students in terms of learning institutions. This is what is fuelling the rapid development coming up in the town to cater for this growing need for student accommodation.
Some Information about the Student Property Needs
Obviously, rental property is the most preferred for the student population in Maidstone. In order to work within their strained budgets, students tend to share houses and rental spaces. Aside from the budgetary concerns, living together is fun and very social. As an investor you can make a killing if your building provides spacious common rooms and adequate bathroom and toilet facilities.
Did You Know?
Maidstone has several learning institutions and this is the reason why student let businesses do very well in the town. As things stand, the current supply of the student accommodation industry does not meet the demand that exists. More schools are also looking to expand into the region meaning that the student population will only increase in the next few years.
Here is a list of some of the schools in Maidstone:
• University of the Creative Arts of Maidstone
• Maplesden Noakes Secondary School
• European School of Osteopathy
The types of accommodation students generally go for include:
• Student flats
• Shared houses
• Studio flats
• Halls of residence
Student rentals facts and figures
Yields from student rentals are currently 7 percent more than regular accommodation. The biggest advantage when it comes to student housing is that they are HMOs i.e. houses occupied by several tenants. You therefore get a lot more revenue out of them than you would if only a single tenant rented out the whole space.
Fewer student tenants default on rental payments compared to regular tenants. The current statistics according to NLA show that students record 33 percent while regular tenants rate at 5 percent. Surprising? Well it should not be because students usually have guarantors who are liable and pay their rent in case they do not.
Something else that is important for potential investors to know is that once in a while you will have voids when your housing units are left vacant. Talk to your letting agent to find out how to handle rent defaulters to avoid enormous loses.
Some Tips for Prospective Landlords
• Tenancy contracts
Contracts are a great way of avoiding and also sorting out disputes. Tenancy is not without its issues and you may find that student tenants can get cumbersome to handle. Make sure that your contracts are written out clearly and that all the information in them is understood by all parties involved.
• Property Conditions
Your property, however simple, should cater for the needs of your student tenants. Do not let them become dilapidated as such conditions will rob you of all your tenants and give you a bad reputation in Maidstone. Take care of your buildings, carry our maintenance and check on your tenants every so often to make sure that they are comfortable.
• Rental costs
The costs of living in a rental space are varied. Make sure that your tenants understand exactly what they are responsible for in the contracts you write up. This will shore up any confusion and help you avoid unnecessary conflicts in the future.
• Become Law savvy
Tenancy laws dictate that you have some obligations to meet as a landlord. As a result, you have to find out what the law stipulates and take action to avoid litigation measures being taken against you.
Crime in Maidstone
Students usually prefer safe and secure areas. As an investor you must strive to find property that is in a secure place. Additionally you have to put in place a few security measures of your own such as alarm installations, smoke detectors, strong locks and surveillance cameras.
Maidstone is a relatively safe town and the rimes reported occasionally really do not affect student tenancy that much. No town is totally without crime and so the best you can do as a property owner is to strive to secure your building.
Upcoming Developments in Maidstone
Maidstone town is undergoing a total revamp and this is great news for investors. It is such developments that appeal to students and learning institutions which then expand into the area. Some recent development projects are:
• Maidstone bridge improvement
• Langley Park and Hermitage Lane new schools
• Mid Kent College refurbishment
• Maidstone Hospital improvement
There are also several other development plans to improve public utilities, social amenities and leisure within the town. New hotels and restaurants are springing up in the county making it a ready hub for development.
Different surveys keep releasing different numbers when it comes to information regarding yields in the student accommodation industry. The common consensus however, is that this market is earning investors more than 7 percent above regular rentals. The appeal to investors in areas like Maidstone is therefore obvious especially with the student population growing incredibly fast and developments mushrooming everywhere.
A letting agent makes your life as a property owner a lot easier. They run the business essentially and all you have to do is to wait for your returns at the end of an agreed period. With letting agents you do not have to spend hours running your building. They will get you tenants, get you accredited in institutions in your area and do all the hard work for you.
Student housing is a lucrative venture at the moment. This is unlikely to change in the foreseeable future especially because education is becoming a major concern for many people. Buying property to let in Maidstone now can be a life changing venture.