SAN ANTONIO — It's a tough sight to see your kids head off to college. But the tought sight becomes a tough decision to do so amid the pandemic.
If living on campus in dormitories doesn't seem safe, here are other Money Smart options for students. KENS 5 spoke with a local financial advisor on student housing options that could save you money and benefit you long-term.
"Typically, freshman and sophomores are required to live in the dorms. But dorms can be very, very expensive. In this COVID world, however, they're becoming much more flexible," said Karl Eggerss, senior wealth advisor and partner of Covenant."Could they go and rent a room from somebody through an Airbnb for the semester? It might be more cheaper than a dorm."
Eggerss said investing in a property is another option.
"Maybe the parents invest in a condominium near the campus and they actually have the child get some roommates and pay them rent. It could turn out to be a very good investment over the long-term being in a college town," Eggerss said. /;Especially with interest rates as low as they are right now; they can finance the property and it may be worth doing that near campus."
If that is an attractive route, you may be able to find cheaper alternatives farther from campus.
"Let’s say for example, your child is going to Nashville, Tennessee. Perhaps they might look outside the city, 15 to 20 minutes (away), and look for something that is much cheaper because it’s a little further out. Maybe it’s a fixer-upper home, a small home that they can put some sweat equity into and, over time, actually improve the value of the home," Eggerss said.
For more information on the process of buying a property, the San Antonio Board of Realtors has recommendations. SABOR also lists ways to create a budget, what to consider before putting in an offer and how to close the deal.