You are the proud parent of a freshman at Arizona State University and you have to figure out where your child will stay at school or if the investment is even worthwhile. If you are sending your kid to university, you should really think about buying a condominium. Although it may not seem so, the truth is that purchasing real estate for your college student is a profitable financial investment. The real estate will appreciate with time, thus offsetting the tuition payments, not to mention that what you will have to dig deep into your pockets to pay the college dorm room. The great news is that there are many Old Town Scottsdale condos conveniently located near Arizona State University. As long as your kid is responsible and he can live on his own, it makes financial sense to invest in a condominium. If you are not still convinced that acquiring this kind of real estate for your kid is a good idea, you need to read the following.
Benefits of buying a condo for your college student
The likelihood is that thousands of students will head to university this fall and even if you have your mind set on a college dorm room, you may not find that many rooms available. Renting is not an option as all the good places to stay will already be occupied. As a parent, you have no choice but to focus your attention on real estate. The fact is that there are several benefits to purchasing a condo for your college kid.
- Having stability during college – The greatest benefit is that you will not have to look for a different place each year. An apartment can be leased for 1 year and the longer you rent, the higher the price will be. What is more, at the end of the lease, the landlord may not want to renew the rental and force your child to vacate the premises. Instead of making him go through this process, you should rather ensure him stability.
- Tax benefits – A number of parents have made money from investing in real estate for their kids. While federal income tax does not allow you to deduct losses from renting real estate, there are exceptions if the person renting the condo is a family member. If you decide to sell the apartment in the future, you will enjoy favorable tax rules.
- Learning from mistakes – Parents send their children away from home so that they can earn a sense of independence. If your kid has his own place, he/she will become more responsible with time. Basically, you will be teaching him how to make smart choices and how to become less dependent.
Do your homework before buying
Now that you are convinced that buying a condominium for your child is what you should be doing, you have to be very careful when making the purchase. What you should do is look at many properties and do the math before making an investment decision. If you wish to rent the condo after your graduate son leaves town, make sure that the place is in good condition