Why ND parents are paying rent when they could be building equity
Four years of tuition is expected. Four years of rent money disappearing into thin air? That part is optional.
The acceptance letter arrives. The pride is real. The tuition bill is real. And quietly, without much fanfare, another bill starts showing up every month for the next four years — rent near Notre Dame. Most ND families write that check without ever asking a simple question: what if we didn't have to?
I'm Tim Vicsik, a real estate specialist with Trueblood Real Estate who has spent years helping families navigate the neighborhoods around the University of Notre Dame. And the conversation I have more than any other? It goes something like this: a parent is two or three years into paying rent near campus, their student is about to graduate, and they do the math for the first time.
The number hits them like a cold glass of water.
This post is about showing you that math before that moment — so you have the chance to do something different.
First, let's talk about what rent near Notre Dame actually costs
Decent student housing within a reasonable distance of Notre Dame's campus runs between $1,100 and $1,600 per month for a two-bedroom unit, depending on the neighborhood and condition. Let's use $1,300 as a working number — modest, but realistic for a unit your student would actually want to live in.
Over four years, you've written checks totaling $62,400 — and you have absolutely nothing to show for it. No asset. No appreciation. No return. The landlord got a very nice vacation, and you got the privilege of paying their mortgage for them.
The rent money is gone no matter what. The only question is whether it goes into someone else's equity — or yours.
— Tim Vicsik, Trueblood Real EstateWhat ownership near Notre Dame actually looks like
Let's build a real scenario — nothing exotic, nothing that requires being a millionaire. A well-located two-bedroom condo within walking or biking distance of campus. There are solid options in the $220,000–$260,000 range. We'll work with $240,000.
With a 20% down payment ($48,000), you're financing $192,000. At current rates, your total monthly payment — principal, interest, taxes, HOA fees, and insurance — lands around $1,700 to $1,850 per month. We'll call it $1,800 to be conservative.
On the surface, that looks more expensive than rent. But here's where it gets interesting.
The roommate multiplier — the number most parents never think about
Your student doesn't have to live alone. In fact, most ND students want roommates. A two-bedroom unit near campus — one room for your student, one room for a classmate — can generate rental income of $650 to $800 per month from that second bedroom alone.
Charge one roommate $700/month. Your effective monthly cost drops from $1,800 to $1,100 — and you're now paying less than rent while building equity in an asset you own. Many parents with a 3BR condo rent two rooms and reduce their net cost to well under $500/month.
Side by side — the numbers don't lie
| Renting near ND | Owning near ND | |
|---|---|---|
| Monthly payment | $1,300/mo | $1,800/mo |
| Rental income from roommate(s) | $0 | −$700/mo |
| Effective monthly cost | $1,300/mo | $1,100/mo |
| Total out of pocket (4 years) | $62,400 | $52,800 + $48K down |
| Estimated property value at graduation | — | $265,000–$275,000* |
| Remaining mortgage balance | — | ~$183,000 |
| Net equity at graduation | $0 | ~$82,000–$92,000 |
*Based on 3–4% annual appreciation, consistent with recent ND-area market trends. All figures are illustrative estimates and vary by property and market conditions.
Read that last row again. The family that rented walks away from graduation weekend with zero equity. The family that owned walks away with $82,000 to $92,000 in equity — enough to recover the original down payment and then some.
And that's the conservative scenario. Three-bedroom units with two roommates can reduce the family's effective monthly cost even further — sometimes to near zero — while the property quietly appreciates in the background.
What happens at graduation — your three options
When your student walks across that stage, you've got choices that renters simply don't have:
Option 1 — Sell. List the condo and walk away with your equity. Use it to pay down other debt, fund a retirement account, or put it toward whatever comes next. Clean, simple, profitable.
Option 2 — Keep renting it out. ND-area condos rent consistently because there's always a new wave of students, faculty, and staff arriving. Positive cash flow is realistic if you've owned for a few years and managed it well.
Option 3 — Hold it for alumni weekends. Notre Dame's home football schedule alone draws 80,000+ fans seven Saturdays a year. Alumni who own near campus never pay $600/night for a hotel room again. (More on that in a future post.)
Most ND families spend $60,000+ in rent near campus over four years without ever questioning it. The families who do question it — and act on what they find — consistently walk away from graduation in a significantly better financial position. Not because they're wealthier. Because they asked a different question at the right time.
What I hear most from parents who waited
"We didn't think we could afford it." — In most cases, when we actually run the numbers together, the effective monthly cost after rental income is comparable to or less than what they paid in rent. The down payment is the real hurdle, and there are strategies to address that too.
"We just didn't know it was possible." — This one is the most common. Nobody told them. Their financial advisor wasn't thinking about it. The university doesn't advertise it. It just wasn't on their radar.
That's exactly why I write posts like this one.
"I'm just curious — when you look at these numbers, what's the first thing that comes to mind? A lot of parents I talk to say the biggest surprise is how close the monthly cost actually is. What would make this feel realistic for your situation?"
A few things worth knowing about this market
The neighborhoods around Notre Dame behave differently than most markets. Demand is unusually stable — the university isn't going anywhere, enrollment is consistent, and alumni loyalty to South Bend is unlike anything I've seen elsewhere. That translates to properties that hold their value and appreciate steadily, even when broader markets get choppy.
Inventory near campus is also limited. We're not building a lot of new units within walking distance of Notre Dame. That supply constraint matters when you're thinking about long-term value.
If you'd like a deeper look at the market — current price ranges, what's available, typical HOA structures — I'm happy to walk through it with you personally. No pressure, just information.
See what the numbers look like for your situation
Every family's scenario is a little different. I'll run the actual numbers with you — purchase budget, rental income potential, net monthly cost — no obligation.
Browse available condos at ND-Condos.comOr reach out directly: 574-329-9587 · Tim@TimVicsik.com
Tim specializes in condos and homes near the University of Notre Dame, helping ND parents, alumni, and relocating buyers navigate one of the Midwest's most unique real estate markets. If you're thinking about buying near campus — for your student, for football weekends, or as an investment — Tim knows this market better than anyone.
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