Prices in many real-estate markets are booming again. So the idea of buying a condo for your college-bound kid to use while in school may have some traction. You could avoid paying through the nose for a dorm room or apartment with no hope of any profit. And if you buy a condo that has some extra space, you can rent it out to your kid’s pal(s) and offset some of the ownership cost.
While buying a college condo is a pretty attractive idea purely from a tax perspective, it really only makes sense if you expect to come out ahead cash-wise when all is said and done. If you can buy relatively low now and sell high later, you’ll be glad you did the deal.