So basically what’s happening lately is I’m noticing more parents approaching me with an interesting strategy for their university-bound children. Instead of paying thousands in dormitory fees each semester, they’re considering purchasing properties near campus. It’s a fascinating shift in thinking about student housing that combines investment opportunity with practical living solutions.
My clients often ask me whether buying a property for their college-aged children makes financial sense. The short answer is that it can be a smart investment under the right circumstances, especially in Quebec’s current market.
When you break down the numbers, dormitory costs at Quebec universities typically range from $8,000 to $12,000 per academic year. That’s money that simply disappears from your family’s finances. Meanwhile, a modest condo or townhouse near campus might require a down payment of 20% (around $60,000-$100,000 for properties in the $300,000-$500,000 range), but the monthly mortgage payments could be partially offset by having roommates contribute rent.
What makes this strategy particularly appealing is that property in Quebec, especially near educational institutions, tends to appreciate over time. While market fluctuations are always a reality, real estate near universities often maintains stronger demand regardless of broader market conditions. When your student graduates, you have several options:
Before rushing into this investment strategy, there are several important factors that Quebec families should assess carefully.
When looking at properties near campuses, I always advise my clients to consider more than just proximity. Structural issues that might be costly to repair down the line should be carefully evaluated. As I often remind buyers during property visits, look for these three critical elements:
These factors can significantly impact both your investment’s value and your child’s living experience. Don’t stress, just assess – but make sure you do it thoroughly.
One aspect that many parents don’t initially consider is who will manage the property day-to-day. When your child is balancing academic demands, they may not have the time or expertise to handle maintenance issues, coordinate with roommate tenants, or address emergency repairs.
You have three main options:
The right choice depends on your student’s responsibility level, your proximity to the property, and your comfort with landlord responsibilities.
Purchasing a second property creates tax considerations that differ from typical homeownership. Since this isn’t your principal residence, you’ll need to report rental income and can claim related expenses.
Remember that in Quebec:
I always recommend consulting with a tax professional who specializes in Quebec real estate investments before proceeding. They can help structure your ownership in the most advantageous way for your family’s circumstances.
The market always dictates the value, and this applies to student housing investments too. When considering this strategy, timing and pricing are crucial, as discussed in Why Your Home Won’t Sell. As I tell my clients, you can price your investment expectations however you want, but you’ll only get returns when you’re within striking distance of market reality.
Before committing to this investment approach, consider:
For many Quebec families, especially those with multiple children who might attend the same institution over time, purchasing a property can be financially advantageous compared to paying for dormitories. However, it requires careful consideration of all factors, from market conditions to family circumstances.
If you’re thinking about exploring this option for your university-bound children, don’t be shy to reach out. As with everything in real estate, understanding all the details helps you make the right decision for your family’s future.
Schedule your no-obligation Student Housing Investment Consultation and receive our exclusive guide: “The Quebec Parent’s Roadmap to Student Housing Investment Success”
Peter graduated from Lasalle College in hospitality and spent 13 years managing the infamous Chateau du Lac, where he built a reputation for leadership and forming genuine, trusting relationships.
Peter’s real estate career is built on a foundation of honesty, trust, and tireless effort. He takes pride in going above and beyond to ensure his clients feel supported and confident throughout their journey. He regularly provides timeline market insights on his local service areas of Saint-Lazare, Hudson, Vaudreuil, and Rigaud, but has expanded to service clients across the Vaudreuil-Soulanges and West Island regions.
Outside of work, Peter’s world revolves around his wife and two young boys, who inspire him every day. A die-hard Montreal Canadiens fan, Peter never misses a chance to cheer on the Habs or crack a dad joke to keep everyone smiling.
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