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 Dallas Dallas Urban Collective

Verified

Dallas Urban Collective

2500 Main Street, Dallas, TX 75201

Listed 8 days ago

892 views

31 saved

$1,250,000

$156/sq ft

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+14 More

Property Overview

Bedrooms

Bathrooms

8,000

Square Feet

88%

Occupied

Dallas Urban Collective represents the pinnacle of modern co-living designed specifically for digital nomads and remote professionals. This converted industrial building in downtown Dallas offers 12 premium suites with dedicated co-working facilities, high-speed fiber internet, and a vibrant community atmosphere.

Located in the heart of Dallas's business district, this property features floor-to-ceiling windows, exposed brick walls, and modern amenities. The building includes a rooftop terrace, professional conference rooms, and 24/7 security. Perfect for attracting tech professionals, entrepreneurs, and creative professionals who value both privacy and community.

Financial Performance

Monthly Income

Gross Monthly Rent $20,400

Co-working Memberships $1,200

Vacancy Loss (12%) -$2,000

Net Monthly Income $19,600

Monthly Expenses

Property Management $850

Insurance $420

Utilities & Internet $680

Maintenance Reserve $450

Security & Cleaning $380

Total Monthly Expenses $2,780

6.8%

CAP Rate

2.1%

Cash-on-Cash

$16,820

Monthly Cash Flow

$156

Per Sq Ft

⚠️ Financial Disclaimer

IMPORTANT: All financial data and projections are for informational purposes only. CoLivingProperties.com is not responsible for accuracy of information provided. Investors must conduct comprehensive due diligence and consult qualified professionals before investment decisions. Real estate investments carry risks including market volatility and vacancy rates.

Amenities & Features

Professional Features

Dedicated Co-working Space (2000 sq ft)
Fiber Internet (1Gb up/down)
Private Phone Booths
Conference Rooms with A/V Equipment
Printing & Scanning Center
24/7 Access Control

Living Features

Fully Furnished Premium Suites
Rooftop Terrace with City Views
Fitness Center & Yoga Studio
Shared Kitchen with Premium Appliances
Lounge Areas & Game Room
On-site Parking Garage

Location & Neighborhood

Business District

Downtown Dallas - 0.2 miles

DART Light Rail

Pearl Station - 0.3 miles

Dining & Entertainment

Deep Ellum - 0.8 miles

Contact Property Owner

Full Name *

Email Address *

Phone Number

Investment Experience

Message

Quick Stats

Property Type Commercial Conversion

Year Renovated 2021

Building Floors 4 floors

Parking Spaces 8 spots

Property Taxes $18,500/year

Target Tenants Digital Nomads

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