Monday, July 14, 2008

JSOnline: Parents invest in homes near campus - College-area purchases help build equity while taking advantage of weak market

It is still a buyers’ market which means that this is still a very good time to purchase real estate. Supply is bountiful. Prices are at its lowest point. Sellers are willing to deal.

In the past few years, I have seen a new type of buyer enter the real estate market – parents of college-aged children. Margaret Jackson of the Denver Post has also seen this trend as well.

Parents are realizing that buying an affordable condominium unit near campus is beneficial for a variety of reasons. With the costs of education increasing from year-to-year, parents are finding creative ways to make some money while their children attend classes.

While renting is convenient for the short-term, it doesn’t make much sense paying for someone else’s mortgage and property taxes. Renters are losing an opportunity to cash in on income tax deductions while building equity.

In the Denver Post article, they introduce us to the parents of a college student who are planning to purchase real estate for their daughter as she attends classes. They mention that they are planning to build equity for their daughter so that she can own her own home following college.

The best part for these real estate investors is that owning a condo near campus provides them with a place to stay as well as providing future rental income after their child graduates and moves out.


Jackson of the Denver Post writes more about the advantages of purchasing affordable campus-area housing in a buyers’ market. Click here to read about what parents are doing to make money while their children attend college>>>


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