AAA is recommending that those parents of college students who can afford it should invest in real estate in college towns to make a healthy return and save some cash through the college years.
Boston, MA, USA, September 4, 2012 — Alternative Asset Analysis (AAA) is recommending that those parents of college students who can afford it should invest in real estate in college towns to make a healthy return and save some cash through the college years.
The alternative investment advocacy group is not the only one encouraging parents to buy student digs to make a profit. In fact mortgage and housing expert, Ken Harney, recently wrote about the issue in an article for Forbes. He described how soaring rents are making sending kids to college even more expensive. Buying a property can solve the short-term problem while making a buck or two over the long term.
AAA says that people without children in college can also benefit from the boom in college town real estate by buying up a modest property and renting it out to students. Now is the time to swoop, claims AAA’s analysis partner, Anthony Johnson. He said “The housing market has bottomed out and is slowly on its way back up. Buy now and you’re likely to make money over the medium to long-term.”
In many of the US’s largest college towns, the average rents of properties are now several times the average mortgage repayments due each month, so investing in a student property makes sense now and in the future.
Although some college towns, like Boston and Washington DC are not cheap places to buy property, others, like Pittsburgh and Atlanta remain much more affordable and rents are still high compared with mortgage repayments. “The model works almost everywhere,” added Mr Johnson.
As well as advocating real estate investment, AAA also promotes ethical investments, such as sustainable timberland investments through firms like Greenwood Management that run plantations in Brazil and Canada. “Forestry is another asset class that gives investors something tangible, with intrinsic value, in exchange for their dollars,” said Johnson.
About Alternative Asset Analysis:
The remit of Alternative Asset Analysis is to analyse and provide news on the global performance of a wide range of alternative asset classes including, but not restricted to, commodities, real estate, forestry, foreign exchange, hedge funds, private equity and venture capital.
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