Property Analysis: The lot size is approximately 0.2094 acres. Our home will be 2496 ft2. This includes the front porch, front balcony, and back porch. There are two large oak trees on the site. The property includes a 100 ft2 storage shed on the property behind bamboo brush.
Target Market: Our target market consists of Texas A&M students looking to live near campus. The students are seeking a yearlong lease with a renewal possibility. Since our demand is coming from students, we expect demand to increase due to enrollment numbers growing at a stable rate.
Basic Employers: Our target market consists of full-time students.
Rent Price Comparables: Rent on our property is $2,500/month. This is lower than the typical market for a comparable home; however it is still high enough to cover our outstanding notes. Rent does not include utilities. As previously mentioned, each home is 5 bedroom, 4 full bath. Each of our homes comes equipped with granite countertops, wood floors, and basic amenities. There are no rent abatements.
Inventory/Vacancy Rate for Property Type: We don’t expect any vacancy losses because we have had such high demand. In past experience, we have only taken legal action once against a tenant.
Competition: Competition is fierce. In a town of constant growth there are new homes being built on a regular basis. Not only do we consider other homes a competitor, we also consider apartment complexes, townhouses, and any other place that houses students off-campus.
SWOT Analysis: Property
- · Strengths
o Proximity to campus
o Upscale homes
o Friendly management
o Lower rental rates
- · Weaknesses
o Quick construction
o Low quality appliances
- · Opportunities
o Easy to find tenants
- · Threats
o Eviction (not collecting payment)
o Zoning issues
Demographics: Our demographics consist of students ranging from ages of 18-25. The college currently has 46,618 students enrolled. There are 21.7 thousand females and 24.9 thousand males.
Economics: A lot of the students that live in College Station get money from their parents. In addition, some students have part-time or full-time jobs.
Lifestyle Characteristics: The town is centered around Texas A&M University. Since we only rent to students, that tie is important to our company, AgShacks.
No comments:
Post a Comment