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Student accommodation

Student housing investment could help students save money

Author: Gemma





With over £2 billion pumped into student housing investment every year for the last 3 years, students may start to reap the rewards of more affordable accommodation due to a greater selection of available accommodation.

High cost of renting

Research from the Resolution Foundation has shown that almost 4 million people in the UK are spending over 33% of their wages on rent.

Many of these renters are students, who are not entitled to welfare payments, and are left struggling to pay for rent.

Research shows that on average, student rents equal 95% of the maintenance loan available.

With no cap on what landlords can charge renters, many students end up staying in substandard accommodation due to spiralling rental and living costs.

New student housing investment

The last few years have seen a large influx of investment in the student property market. It is thought that with more accommodation available, the market will become more competitive which should help improve living standards for students.

Purpose-built accommodation may offer a solution to students who need help balancing their rental payments and bills.

Halls of residence may be priced slightly higher than renting a room in a HMO however, many are inclusive of bills allowing students to not worry about having to budget extra money for monthly bills.

Many modern, new-build developments provide high-speed Wi-Fi and, in some cases, have extra facilities such as a gym, cinema, meeting rooms, communal living spaces with games and activities and even on-site laundry.

Students could cut down their day-to-day spending by utilising the facilities within the building.

Accommodation of this kind is often situated close to a University which will also help cut down on transportation costs.

Student housing investment may also help ease the UK’s housing shortage. According to Savills, 66,000 homes could be released back into the residential market if there were more purpose-built rooms for students.

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