The Canadian housing market and where it is headed has
been the subject of heated debate among investors and Canadians in general for
several years now. Among the countless stakeholders in this important issue are
students of Canadian universities and colleges across the country. As of 2013,
there were 950,000 full-time students enrolled in 82 of the largest educational
institutions across Canada, a number that has since grown closer to one
million. Obviously housing is an important factor in the decision-making
process of students and one that is not taken lightly considering the cost.
This holds particularly true for international students seeking an education in
Canada. In fact, the international student market comprised approximately $8
billion in Canada as of 2014, factoring in both tuition and living expenses.
This group accounts for approximately 10 per cent of full-time university
students across the country.
Investors have taken notice of this high demand for
affordable student housing. In the “university towns” of Waterloo, London and
Guelph, private groups have long been interested in building and developing
units for students. Students are often more willing to rent by the bed as
opposed to entire units. This provides further income to property owners as
they are able to generate more revenue from a single unit. It is not only
private investors who have taken notice to this opportunity but also the
universities and colleges themselves.
Based on this information, it is clear that an
opportunity presents itself in the rental housing market. Both domestic and
international student numbers keep growing.
