by House4Students 
The student housing market has changed a lot in recent years—but some outdated myths still put off both parents and would-be investors.
In 2025, student accommodation remains one of the most resilient, high-yield sectors in UK property. But if you’re still holding onto one of these common myths, it’s time to rethink your view.
❌ Myth 1: “Students always trash the place”
The days of wild house parties and wrecked rentals are largely behind us. Today’s students are more likely to be juggling coursework, part-time jobs, and rising costs of living.
Most landlords report fewer issues with student tenants than with young professionals. And with guarantors and deposits in place, any damage is typically covered.
❌ Myth 2: “There’s no money in student lets anymore”
Wrong. Gross yields of 7–10% are still achievable in many student towns—especially with HMOs or well-managed PBSA. Demand remains high, and tenants are often in place for a full academic year, meaning fewer voids.
The key is location, quality, and compliance. According to HESA, over 2.86 million students were enrolled in UK higher education in 2022/23—with 51% of postgraduates and 14% of undergraduates coming from overseas.
❌ Myth 3: “PBSA is always safer than Buy-to-Let”
Not necessarily. PBSA might seem less hassle, but it comes with its own risks:
Reliance on a single operator
Limited capital growth (most are leasehold)
Resale markets can be slow or discounted post-yield guarantee
Meanwhile, a well-located BTL offers flexibility—you can pivot to professionals or short-term lets if needed.
❌ Myth 4: “The market is saturated”
In some cities, yes. But in towns like Reading, the reality is the opposite. Many second- and third-year students struggle to find well-maintained off-campus housing.
Planning constraints, rising build costs, and limited PBSA completions mean demand continues to outstrip supply. Knight Frank reports a continued under-delivery of new student stock relative to growing demand.
❌ Myth 5: “It’s too risky with all the new regulations”
Yes, compliance is more important than ever—EPCs, licensing, council tax class exemptions—but that’s also what keeps standards high.
If you’re working with a professional letting agent or accredited provider, these risks are manageable. Regulation weeds out poor operators—it doesn’t stop good ones from thriving.
✅ The Benefits Investors Often Miss
In fact, student lets come with several strategic upsides:
- Higher rental yields than typical residential lets
- Fixed tenancies (usually 10–12 months), with minimal arrears
- Turnover can be a strength—you’re not stuck with long-term tenants if things go wrong
- Rent is often paid upfront or backed by guarantors, reducing cash flow concerns
And post-COVID? The market has bounced back stronger than expected. According to UCAS and ONS data, international and domestic applications have returned to or exceeded pre-pandemic levels—underscoring long-term resilience.
✅ What to Believe Instead
Student accommodation in 2025 offers:
- Reliable demand, both domestic and international
- Strong yields, especially in the HMO space
- Exit flexibility, with BTL allowing different strategies
- Undersupplied markets where tenants actively compete for quality housing
The key is knowing the difference between perception and reality—and working with people who know the market inside out.
💬 Need Help Separating Fact from Fiction?
At House 4 Students, we specialise in student accommodation across Reading. We help investors, parents, and landlords make smart, fact-based decisions—no scare stories, no sugar-coating.
📩 Get in touch for honest advice on your next move. 
