What is co-living and why should I invest in co-living properties?

Coliving is a modern housing concept where multiple tenants share common spaces while having private bedrooms. It's attractive for investors because it offers 15-30% higher rental income per square foot, reduced vacancy risk with multiple tenants, high demand from millennials and Gen Z, and cap rates of 8-12% in major markets.

What are the average cap rates for co-living properties?

Co-living properties achieve cap rates of 8-12% nationwide, significantly higher than traditional rentals at 5-7%. Austin averages 9.2%, Houston 8.7%, Los Angeles 7.8%, Denver 8.4%, and Miami 7.6% cap rates.

How much money do I need to invest in co-living properties?

Total initial investment typically ranges $200K-$300K including: down payment (20-25%), closing costs (2-3%), renovation budget ($10K-$50K), and reserve funds for 3-6 months. For a $750,000 property, expect $200K-$300K total initial investment.

What is the ROI on co-living property investments?

Coliving investments typically achieve 15-25% total ROI including appreciation, with 12-18% cash-on-cash returns and $1,500-$4,000 monthly cash flow. This is 30-50% higher returns than traditional rentals, with break-even in 5-8 years.

How do I finance a co-living property purchase?

Financing options include conventional investment loans (20-25% down), portfolio lenders with flexible terms, specialized co-living lenders, and DSCR loans based on property income. Requirements typically include 680+ credit score and 1.25x debt service coverage ratio.

What markets offer the best co-living investment opportunities?

Top markets include Austin TX (9.2% cap), Houston TX (8.7% cap), Denver CO (8.4% cap), and Los Angeles CA (7.8% cap). Best markets combine strong job growth, high housing costs, favorable landlord laws, and young demographics.

What are the typical cap rates for Austin co-living properties?

Austin co-living properties typically offer cap rates between 8-12%, with our featured properties averaging 9.6% cap rates due to high rental demand from students and young professionals.

Why is Austin a good market for co-living investments?

Austin offers exceptional co-living investment opportunities due to rapid population growth, a thriving tech industry, major universities like UT, and strong rental demand from millennials and Gen Z.

What is the minimum investment for Austin co-living properties?

Austin co-living investment properties typically start around $625,000, with financing options available. Most investors see positive cash flow from day one.

Home Marketplace Austin Austin Co-Living Haven

Verified Featured

Austin Co-Living Haven

1234 South Lamar Blvd, Austin, TX 78704

Listed 15 days ago

1,247 views

23 saved

$850,000

$142/sq ft

1 / 25 Photos

+21 More

Property Overview

Bedrooms

Bathrooms

6,000

Square Feet

95%

Occupied

This stunning co-living property in the heart of Austin offers an exceptional investment opportunity with premium amenities and an established tenant community. Located in the vibrant South Lamar corridor, this property features 8 spacious bedrooms, modern common areas, and outdoor spaces perfect for community living.

The property has been professionally managed and maintained, with recent updates including renovated bathrooms, updated kitchen appliances, and enhanced common areas. With its prime location near downtown Austin and excellent public transportation access, this property attracts young professionals and maintains high occupancy rates year-round.

Financial Performance

Monthly Income

Gross Monthly Rent $13,600

Vacancy Loss (5%) -$680

Net Monthly Income $12,920

Monthly Expenses

Property Management $450

Insurance $220

Maintenance Reserve $300

Utilities (Common) $180

Total Monthly Expenses $1,150

7.2%

CAP Rate

1.9%

Cash-on-Cash

$11,770

Monthly Cash Flow

$142

Per Sq Ft

⚠️ Financial Disclaimer & Due Diligence Notice

IMPORTANT: All financial data, projections, CAP rates, income estimates, and market analysis presented on this platform are for informational purposes only and should not be considered as investment advice or guarantees of future performance. CoLivingProperties.com and its affiliates are not responsible nor liable for the accuracy, completeness, or reliability of any financial information provided. All potential investors must conduct their own comprehensive due diligence, including but not limited to independent financial analysis, property inspections, market research, legal review, and consultation with qualified professionals before making any investment decisions. Past performance does not guarantee future results. Real estate investments carry inherent risks including market volatility, vacancy rates, and economic downturns that may significantly impact returns.

Amenities & Features

Interior Features

Fully Furnished Bedrooms
Modern Kitchen with Stainless Appliances
High-Speed WiFi Throughout
In-Unit Laundry
Central Air & Heating
Hardwood Floors

Community Features

Co-working Space
Shared Living & Dining Areas
Outdoor Patio & Garden
Security System
Off-Street Parking (4 spaces)
Professional Management

Location & Neighborhood

Universities

UT Campus - 2.3 miles

Downtown

Austin CBD - 1.8 miles

Transit

Bus Stop - 0.2 miles

Contact Property Owner

Full Name *

Email Address *

Phone Number

Investment Experience

Message

Quick Stats

Property Type Single Family

Year Built 2018

Lot Size 0.18 acres

HOA Fees None

Property Taxes $8,500/year

Target Tenants Young Professionals

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