Is Your Child Going to College in California?
Are you sweating about sending your son or daughter to college in Southern California? We know, it’s downright expensive…unless of course your protégé is one of the chosen few who gets a full ride scholarship! On top of the thousands of dollars you spend for tuition, there are additional expenses for text books, tutors, meals, supplies, and of course, room and board.What if you could offset the cost of college by purchasing a small condo for your child to live in while they attend school? On-campus living is costly and occasionally counter-productive, especially if your child ends up in the “party dorm”. Consider purchasing a condo near the college in YOUR name, or the name of your family trust. Your son or daughter will get the benefit of choosing a roomie, as opposed to having one assigned. You’ll get the benefit of possible equity and appreciation on the property. Since room mates were already a necessary evil, why not put their money to work for you?
Instead of throwing MORE money to college and dorm living, your son or daughter can actually help you earn some back! Purchasing a small home or condo can be done easily in the 30-90 days before school starts, with little to no money out of your pocket. By obtaining a small home or condo near a popular college campus, you are establishing great potential for a future investment property!!!
If you purchase a condo at 300,000 in year 1 of a 4 year college term, and the property appreciates a modest 3% per year, you could SIGNIFICANTLY off set the cost of school. Take a look at the graphs and facts on our first time buyer page, and you will see how a condo at 3% appreciation will net you roughly 37k in 4 years! In addition, don’t forget about the tax benefits and other write offs you’ll receive – talk to your CPA about it.
Teaching your child how to wisely spend money in order to make money may be one of the best lessons they learn during school, and they’d be learning it from you 🙂 Setting an example of how to diversify investments and capitalize on opportunities won’t hurt either. For more information, contact us or schedule your online search today.
Southern California College Websites