Most student properties coming onto the letting market continue the tradition of providing basic level fit-out accommodation or properties in sub-prime locations. Both of these factors do not enhance rent. Good quality accommodations, which appeal especially to Asian students, are in strong demand but remain under-represented.
Rent continues to increase across the UK and student housing, amongst all property types, generates the highest rental yield.
The slower rise in property prices outside of London provide investors in regional centers the potential for higher yield and capital gains against cost. According to a Unipol research in 2013, a 5-star property takes only a third of the time to let compared to an unaccredited property, and always commands higher rent.