How to Cash in on the High Cost of College
My college days (go Stetson Hatters!) are way behind me, but I am proud to say that my two daughters recently graduated from the University of Central Florida (go Knights!) and Florida State University (go Noles!).
If you have children or grandkids in college, I don’t have to tell you how expensive tuition is these days. According to U.S. News & World Report, average yearly costs for tuition this year are:
- $10,116 for a public 4-year in-state college
- $22,577 for a public 4-year out-of-state college
- $36,801 for private 4-year college.
FSU graduate Shannon Burnick
(magna cum laude!)
That’s just tuition. My checkbook found out the hard way that housing can cost $10,000-plus a year, depending on the location of the college. Back in my college days in the 1980s, I shared a barren, cramped dorm room with another freshman, ate dorm food that tasted worse than Soviet gruel and shared a bathroom with a couple dozen other not-so-tidy young men.
Not anymore. College students today expect more than Soviet-era cinderblock housing. They expect dramatically more comfort and amenities, and the business of providing upscale student housing is extremely profitable.
One way to cash in on the high cost of college and earn fat dividend income in the process is to take a closer look at the largest campus-housing REIT in the U.S.: American Campus Communities (ACC).
This firm owns and manages 168 student properties that house approximately 133,000 students all across the country, including my youngest daughter’s alma mater, FSU. And ACC pays a solid dividend yield of 4% per year to boot.
Here’s to growing your wealth,
Chief Income Expert, Mike Burnick’s Wealth Watch