Don’t flush money down the toilet!

With Virginia Tech and Radford University in close proximity, the NRV is bustling with students and families. And it is SO SMART for college student parents to invest in real estate for their student versus paying student housing.  Let’s dive into the reasons you should say yes to investing in real estate in Blacksburg.

1. Savings on Student Housing Costs

Renting an apartment or dorm for four years can add up to tens of thousands of dollars. By purchasing a property, parents can provide stable housing for their student while potentially saving money in the long run. For example, the average cost of renting a two-bedroom apartment in Blacksburg is around $1,400 per month, which totals over $67,000 over four years. Compare that to building equity in a property you own, and the savings can be significant. 

2. Long-Term Investment Opportunity

Blacksburg’s real estate market has shown steady growth, with home values increasing by an average of 7% annually over the past decade. This makes it a desirable location for long-term property investments. Parents can hold onto the property even after their child graduates, using it as a rental or selling it for a profit as property values continue to rise.

3. Generate Rental Income

If the property has extra bedrooms, parents can rent them out to other students, creating an income stream that offsets mortgage costs. With Virginia Tech’s enrollment exceeding 30,000 students, there is strong demand for off-campus housing. Well-located properties near campus or on public transportation routes tend to have the highest rental potential.

4. Build Equity Over Time

Unlike renting, owning a property allows parents to build equity. Monthly mortgage payments contribute to an asset that can grow in value, rather than paying rent that goes to someone else. For example, a $250,000 home with a 20% down payment and steady appreciation could gain significant value over four years.

5. Provide a Safe and Comfortable Space

Owning a property gives parents control over their student’s living environment, ensuring safety, cleanliness, and a comfortable space to study and thrive. This can be especially reassuring compared to shared dorms or crowded apartments.

What Types of Properties Are Ideal for Parents of Students

• Single-Family Homes: Provide more space and privacy, with potential to rent out extra rooms to other students or families.

• Condos: Low-maintenance and often located near campus, condos are a popular choice for parents seeking convenience.
• Townhomes: A balance between affordability and space, often found in student-friendly communities with shared amenities.

Ready to Explore Investment Opportunities in Blacksburg?

Whether you’re looking to save on student housing, generate rental income, or invest in a growing market, Blacksburg offers plenty of options. As a local real estate expert, The Mandell Group can help you find the perfect property to meet your needs.