I
t's no secret that higher education comes with a hefty price tag. The average cost of college has more than doubled since 2000, with room and board making up a significant portion of the expenses. In fact, the cost of room and board at a four-year institution now averages $12,917 a year.

    While dorm life can have its benefits, such as bonding with other students and being close to classes and campus amenities, it's not without drawbacks. The cost has increased dramatically over the years, nearly doubling from $6,764 in 1963 to $12,595 in 2021. Additionally, dorms often have restrictive policies, limited privacy, and constant noise and distractions.

    For parents who can afford it, buying a home near campus for their child to live in may be a better option. This not only provides a secure place for their child to call home but also allows them to build equity through homeownership. With the potential to rent out extra bedrooms to other students, families can even generate additional income to cover college-related expenses.

    However, buying a home comes with its own set of responsibilities and costs. Maintenance and upkeep can be time-consuming and expensive, especially when dealing with rowdy students. Additionally, finding reliable tenants who want to stay for the entire school year can be challenging.

    Even if you don't have a child attending the school, owning a home in a college town can be a valuable investment over time. With a steady stream of potential renters and building equity, homeowners can generate additional income and wealth. However, it's essential to consider the ongoing expenses, such as maintenance, repairs, and carrying costs like property taxes and insurance.

    Ultimately, buying a home in a college town requires careful consideration and planning. Families should crunch the numbers, account for all expenses, and ensure they're prepared for the work involved. With the right approach, owning a home in a college town can be a smart financial move that provides long-term benefits for both parents and students.